The cryptocurrency market has seen significant growth and evolution over the past few years, with Bitcoin’s value soaring by over 400% between 2020 and 2024. Other cryptocurrencies like Solana have also experienced substantial gains, with Solana’s price surging by nearly 4,500% from $1.49 to around $166 in just four years.
According to Bitwise’s Chief Investment Officer, Matt Hougan, the positive trajectory of the crypto market is expected to continue beyond the 2024 US elections. In a recent client memo, Hougan expressed confidence in the resilience of the crypto market, stating that regardless of the outcome of the presidential election, crypto has already emerged victorious.
Reflecting on the state of the crypto market from November 2020 to November 2024, Hougan noted significant advancements despite regulatory challenges. Bitcoin’s price has skyrocketed from $13,677 to around $69,492, Ethereum has seen a substantial increase from $388 to $2,492, and Solana has experienced a remarkable price surge. Additionally, stablecoin assets under management have surged from $3.87 billion to $177.83 billion, while decentralized finance total value locked has also seen a substantial increase.
Looking ahead, Hougan believes that the crypto market will continue to thrive beyond the 2024 US election. He predicts that spot crypto ETF inflows will increase, stablecoins will continue to grow, Wall Street will embrace tokenization and real-world assets, blockchains will become faster and cheaper, and real-world applications like Polymarket will gain mainstream adoption.
While the outcome of the election may have short-term implications, Hougan remains optimistic about the long-term prospects of the crypto market. He views any potential challenges as temporary obstacles that will not derail the overall momentum of the industry.
In conclusion, the crypto market has shown remarkable resilience and growth over the past few years, and the future looks bright as the industry continues to innovate and evolve. Regardless of external factors, the crypto market is poised for continued success and expansion in the years to come.