Bitwise believes that when traditional financial institutions, also known as “major wirehouses”, start offering Bitcoin ETF trades, there will be a significant increase in institutional investment in spot Bitcoin exchange-traded funds.
According to Bitwise’s CIO Matt Hougan, the first wave of interest in Bitcoin ETFs has been largely from retail investors, hedge funds, and independent financial advisors, but there is a second wave of institutional capital coming.
Hougan predicts that once the major wirehouses, such as Bank of America’s Merrill Lynch and Wells Fargo, offer spot Bitcoin ETFs to their wealth clients, there will be a surge of institutional investment. However, at the moment, these ETFs are only available upon request from clients.
Even Morgan Stanley is reportedly considering offering spot Bitcoin ETFs on their brokerage platform.
According to Hougan, the launch of Bitcoin ETFs has ushered in a new era of price discovery, with the supply and demand for Bitcoin reaching new levels due to the amount of ETFs being purchased and the upcoming halving event.
