Asset manager Bitwise has presented a bullish long-term view on the crypto market, predicting that in 2026, Bitcoin, Ethereum, and Solana could all record new all-time highs. The key drivers for such a projection, according to Bitwise’s recent report, are structural changes driven by institutional adoption and ETFs are reshaping how crypto markets behave, reducing the reliance on typical boom-and-bust cycles.
Bitwise opines that the long-followed four-year crypto cycle, historically influenced by Bitcoin halving events and speculation-driven leverage, is losing its significance.
Instead, institutional participation, regulated investment vehicles, and on-chain adoption are now recognized as the leading drivers of crypto prices.
One notable shift highlighted in the report is Bitcoin’s declining volatility. According to Bitwise, Bitcoin has already shown periods of lower volatility than large-cap technology stocks such as NVIDIA. Thus, it is moving towards becoming a more mature, less volatile investment, mainly held by institutions.
One of the key points in Bitwise's bullish outlook is the role of ETFs. The company predicts that ETFs will buy more than 100% of the new yearly supply of Bitcoin, Ethereum, and Solana combined by 2026.
Bitcoin ETFs have already proved this by taking in much more BTC than miners are producing.
While large financial companies like Morgan Stanley, Merrill Lynch, and Vanguard are expanding their clients' access to crypto ETFs, institutional demand is projected to overwhelm new issuance.
Bitwise also estimates that up to 50% of Ivy League endowment funds may be indirectly invested in crypto, which is a remarkable shift given the scale of institutional capital.
Beyond Bitcoin, Bitwise sees Ethereum and Solana as the major beneficiaries of the growing use of stablecoins and tokenization.
As the crypto world gets more traditional money, these blockchain networks will be at the center of hosting assets through tokenization and decentralized financial systems.
Furthermore, the report indicates that there will be more on-chain vaults, sometimes referred to as “ETFs 2.0,” and that their assets under management may rise to twice the current level as institutional investors seek blockchain-native exposure.
Bitwise predicts that crypto-related equities will continue to outperform, driving revenue growth, mergers, and acquisitions, and better regulatory clarity.
Moreover, platforms such as Polymarket are expected to see rising activity and will also expand beyond political betting into macroeconomic, cultural, and sports markets.
Also Read: BTC Could Stay Calmer Than NVIDIA in 2026, Predicts Bitwise Asset Management
Bitwise expects the correlation between Bitcoin and traditional equities to further decline by 2026. As ETF flows, regulation, and institutional adoption take center stage, crypto-specific fundamentals, instead of stock market sentiment, will play a more important role in driving performance.
The company believes that although there are risks, the structural foundation for a new phase of growth is already very much in place.
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