Bitwise CIO: The crypto market shows signs of bottoming out, and the next bull market will be driven by the convergence of on-chain activity and traditional finance

PANews, July 23. Bitwise Chief Investment Officer Matt Hougan posted an analysis saying the crypto market is showing signs of a bottom: since July 1, Bitcoin has risen 9% while Nasdaq has fallen 6%. ETF fund flows have turned positive, and market sentiment has improved. Hougan believes the next bull run will be driven by the convergence of on-chain finance and traditional finance, with core tracks including stablecoins, tokenization, 7×24-hour trading, instant settlement, and institutional DeFi.

He suggested focusing on two types of opportunities: one is crypto-native applications represented by Hyperliquid (HYPE)—which have real revenue and a strong tokenomics model (99% of revenue used for buybacks and burn of HYPE); this year, it has already risen 146%. The other is traditional financial institutions represented by Robinhood (HOOD)—its Layer 2 blockchain, Robinhood Chain, attracted more than $300 million in deposits within two weeks, handling an average of 3.6 million transactions per day, supporting tokenized stock trading for users in 120 countries on a 7×24-hour basis. Hougan said he is bullish on mainstream assets such as Bitcoin, Ethereum, and Solana, as well as crypto stocks, while also watching institutions including Coinbase, Figure, BlackRock, Visa, Stripe, and JPMorgan that are scaling up their expansion in the crypto space.