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The price of Bitcoin may have much more room to grow, according to Bitwise CIO Matt Hougan, who believes the current wave of institutional buying could push BTC close to $200,000 before the year ends.
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In a recent conversation with CNBC Television, Hougan broke down why he sees such a sharp increase ahead. For him, it comes down to simple supply and demand: institutions keep buying large amounts of Bitcoin while the amount of new BTC entering circulation remains extremely limited.
He said:
“There’s unrelenting demand from corporations and institutional investors, and that’s colliding with severely limited supply,” adding:
“You know the Bitcoin network only produces 450 Bitcoin per day. Yesterday alone, Bitcoin ETFs bought 10,000 Bitcoin.”
Hougan pointed out that this kind of institutional interest is not just a short-term spike. He sees it as a gradual shift that will play out over several years. According to him, Bitcoin’s price is adjusting to the pressure of more buyers than sellers—and that dynamic is unlikely to fade soon.
“This institutional investment into Bitcoin is a one-time event,” Hougan explained. “It’s going to take years to play out. But I think over the course of those years, there’s going to be this persistent bid where there’s more demand than there is supply.”
That imbalance, in his view, is what fuels higher prices. If current trends continue, he expects Bitcoin to reach close to $200,000 before the year is over.
The Bitcoin network only produces 450 Bitcoin per day. Yesterday alone, Bitcoin ETFs bought 10,000 Bitcoin.
Beyond price projections, Hougan also spoke about why people are turning to Bitcoin at all. He believes part of it has to do with growing interest in financial self-sovereignty, especially as global tensions rise.
“Bitcoin provides a service which is the ability to store wealth in a digital format without relying on a bank,” he said. “The vibes are definitely part of it. Vibes influence stocks. They influence bonds, but the underlying driver for the rise is more people want this service that Bitcoin provides.”
With ongoing geopolitical issues, tariffs, and economic uncertainty, Hougan said the demand for a decentralized, borderless way to store value is becoming more attractive to investors—both large and small.
For Bitwise, this is not about short-term hype. It is about long-term structural changes in how money flows into Bitcoin. And if Hougan is right, the story of “new all-time highs” might become the new normal.
Bitcoin is currently above $119,000, after a few hours ago it set a new all-time high of $119,356 as per CoinMarketCap data.