Bitwise CIO Names Crypto Protocols, Robinhood for Bull

The next major cryptocurrency bull market will likely be driven by the deepening convergence of blockchain-based finance with traditional financial systems, according to Matt Hougan, Chief Investment Officer of asset manager Bitwise. In commentary published this week, Hougan outlined two key investment categories he believes are best positioned for this shift: revenue-generating crypto protocols and established financial firms building at scale on blockchain infrastructure.

Hougan stated that the next cycle will be propelled by practical applications like stablecoins, asset tokenization, around-the-clock trading, and institutional adoption of decentralized finance. He argued this cycle could be the largest yet because it tackles the global financial market rather than being confined to the crypto sector alone. While noting it is too early to declare a full market recovery, Hougan pointed to improving sentiment, positive exchange-traded fund flows, and Bitcoin's recent performance as encouraging signs.

The first category, which Hougan calls the "Hyperliquid Lane," focuses on crypto-native financial applications that generate substantial revenue and directly link the value of...