Bitwise CIO Matt Hougan believes that there is a significant political shift happening in Washington, D.C. regarding cryptocurrencies, and he thinks that people are not fully grasping its importance. In a recent memo, Hougan points out that the crypto industry has gained political influence in recent years, including the establishment of a top political action committee in D.C. If people truly understood the implications of this shift, Hougan argues, crypto markets would already be at record highs.
Hougan shares his frustration with trying to convey the significance of this political change to others. He has been speaking at conferences and discussing topics such as voting, Warren’s anti-crypto stance, and the progress on Ethereum ETFs, but he finds that people are not interested. The story is too complex for them and seems too distant to have any impact. Despite the shift in tide, no actual policy changes have occurred in Washington yet. Hougan jokes that he will only pay attention when action happens.
However, Hougan believes that once the tension between politicians and the crypto industry subsides, a substantial portion of the $20 trillion managed by financial advisors will flow into digital assets. He suggests that if BlackRock’s entry into the crypto space had a positive impact on the market, imagine the effect if all of Wall Street embraced crypto as a normal part of the market. This mainstream acceptance, according to Hougan, will propel the crypto industry to new all-time highs. But until then, there may still be some opportunities for profit.
In conclusion, Hougan emphasizes that the crypto market is entering a new era, and once people fully understand the implications of the political shift in D.C., it will reach new heights. However, investors should exercise caution and conduct their own research before making any high-risk investments in cryptocurrencies or digital assets. The Daily Hodl, where this article appears, does not provide investment advice and participates in affiliate marketing.
