Bitwise's CIO Said There Is Opportunity in Altcoins: Gave a Date for a Major Increase! - Coin Bulletin

Bitwise's CIO Matt Hougan said that the pessimistic mood of retail investors in the cryptocurrency market presents an opportunity when compared to institutional demand.

In a note sent to clients on Wednesday, Matt Hougan pointed out an interesting gap between institutional and retail investors in the crypto world at the moment. Hougan, saying 'On one hand, we are in the most positive period for institutional investors looking at crypto,' used the expression 'while on the other hand, retail investors are in despair.'

Bitwise's CIO noted that investment professionals see cryptocurrency as an area where they invest at record levels through exchange-traded funds (ETFs). He also pointed out the shift from Washington's previous stance during the Trump administration when the sector was once seen as a threat to now becoming a major advocate.

(# The different perspectives between institutional investors and retail investors

Hougan expressed that institutional investors see crypto as an attractive investment area, but retail investors feel like they are living in a different reality. Bitwise's proprietary on-chain sentiment index is currently recording readings close to all-time lows. Hougan noted that this decline has created a depressive mood among retail investors, especially as altcoin investments are performing worse than Bitcoin this time.

However, Hougan noted that institutional investors believe that Bitcoin is gaining strong momentum and is on the right track. He also pointed out that there are greater opportunities for altcoins in the long term. However, he acknowledged that the altcoin market exhibits a more complex structure and lacks a new major application. On the other hand, he said that with the clarification of regulations and the national prioritization of stablecoins, DeFi applications will spread massively.

Hougan, despite the negative sentiment among retail investors for now, emphasized that the fundamentals are quite solid, indicating that this period presents an opportunity. He predicted that the transformation for altcoins will be "visible" in the next one or two years and its impact will be "significant and overwhelming".