Bitwise CIO Claims Crypto Winter Began in 2025—Now the Question Is When It Ends

Bitwise Chief Investment Officer Matt Hougan said the market has been in a crypto winter since January 2025, arguing that heavy institutional inflows masked the depth of the downturn. He described the period as a full‑blown crypto winter and cited steep drawdowns, noting Bitcoin is about 39% below its October 2025 all‑time high and Ethereum roughly 53% lower.

Hougan highlighted a split between assets with institutional access and those without, saying tokens that gained ETF access and other institutional exposure suffered deeper losses while assets lacking institutional investment fell roughly 60%–75%. He also noted that ETFs and digital asset treasuries accumulated more than 744,000 Bitcoin, which he said helped limit Bitcoin’s losses.

Hougan argued that positive developments often have little immediate impact during deep bear markets but can build “potential energy” for a recovery, and pointed to factors such as stronger economic growth, regulatory clarity, or sovereign adoption as possible catalysts.

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