Matt Hougan, the Senior Investment Manager at Bitwise, believes that Bitcoin is likely in the midst of a ‘crash and surge’ price scenario. Hougan explains to investors that in critical conditions, Bitcoin often drops more than the stock market, but in recovery periods, it rises more intensely. He considers this pattern one of the ‘most consistent patterns in the digital currency market’ stemming from investors’ reaction to the concept of current net worth. Hougan believes that commercial tariffs, with increased economic irregularity, push up Bitcoin’s long-term price target while also raising the factor of decline in calculating current net worth. This leads to short-term price reduction, but with market stability, Bitcoin improves and will even surpass. Hougan emphasizes that he has never been this optimistic about Bitcoin.
