{"id":9034,"date":"2025-02-26T13:05:44","date_gmt":"2025-02-26T12:05:44","guid":{"rendered":"https:\/\/wsj-crypto.com\/?p=9034"},"modified":"2025-02-26T13:05:44","modified_gmt":"2025-02-26T12:05:44","slug":"the-future-of-crypto-is-history-repeating-itself-in-july-2024","status":"publish","type":"post","link":"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/","title":{"rendered":"The Future of Crypto: Is History Repeating Itself in July 2024?"},"content":{"rendered":"

<\/p>\n

\n
\n
\n Este art\u00edculo tambi\u00e9n est\u00e1 disponible en espa\u00f1ol.
\n <\/a>\n <\/div>\n

In a communication published on February 25, 2025, Matt Hougan\u2014Chief Investment Officer (CIO) at Bitwise Asset Management\u2014established notable parallels between the current crypto market and his observations from July 2024. Entitled \u201cShort-Term Pain, Long-Term Gain (Redux),\u201d Hougan\u2019s recent evaluation indicates that, notwithstanding the present downturn, the sector’s fundamental attributes remain as persuasive as ever.<\/p>\n

Crypto Reflections From July 2024<\/h2>\n

Hougan commenced his memorandum by reminiscing about the landscape in July 2024, when he authored an earlier article titled \u201cShort-Term Pain, Long-Term Gain.\u201d That period saw crypto markets in turmoil: \u201cBitcoin, which had surged above $73,000 in March 2024, had dropped to approximately $55,000, a decline of 24%. Ethereum had decreased by 27% during the same timeframe.\u201d<\/p>\n

At that juncture, Hougan remarked that \u201cthe crypto market is currently experiencing a paradoxical situation. The short-term news is unfavorable, while the long-term outlook is optimistic.\u201d He also referenced factors such as prospective ETF inflows, the impending Bitcoin halving, and increasingly favorable policy-making in Washington, D.C., which stood in contrast to immediate threats like Mt. Gox distributions<\/a> and government liquidations of Bitcoin.<\/p>\n

Related Reading<\/span><\/h2>\n<\/p>\n

This analysis proved to be prescient. \u201cShortly after I composed the memo, Bitcoin hit its lowest point and subsequently soared to $100,000,\u201d Hougan stated. In his latest commentary, he observes a similar dichotomy: adverse short-term occurrences juxtaposed with robust long-term tailwinds.<\/p>\n

Yesterday, the crypto markets faced renewed challenges: Bitcoin fell at one point by over 10% to a low of $86,050, Ethereum dropped by 18%, and Solana decreased by 21%. The immediate catalyst: last weekend\u2019s breach at Bybit<\/a>, a Singapore-based exchange, which experienced a $1.5 billion theft of Ethereum through a phishing scheme.<\/p>\n

Although Bybit utilized its reserves to make clients whole, the incident sent shockwaves throughout the industry. The breach followed a string of memecoin frauds, including Libra, endorsed by Argentine President and noted crypto supporter Javier Milei. The memecoin led to billions in losses for investors, which Hougan described as a \u201cmulti-billion-dollar scam.\u201d<\/p>\n

Furthermore, Melania, a project associated with First Lady Melania Trump, also collapsed, incurring significant losses for token holders. The memecoin linked to US President Donald Trump faced no better fate.<\/p>\n

\u201cCollectively, these incidents likely signify the conclusion of the recent memecoin frenzy,\u201d Hougan remarked. While numerous institutional and long-term crypto participants may regard the memecoin segment with skepticism, its trading volume and hype have invigorated overall market activity\u2014especially within the Solana ecosystem.<\/p>\n

Related Reading<\/span><\/h2>\n<\/p>\n

Notwithstanding the unfavorable press, Hougan points to a solid foundation supporting crypto markets. Initially, Hougan emphasizes the pro-crypto regulation established during the Trump administration. He believes, \u201cWe are witnessing the initial stages of a significant shift in Washington\u2019s perception of crypto.\u201d He cites the US Securities and Exchange Commission\u2019s recent choice to dismiss high-profile lawsuits against entities like Coinbase as well as ongoing legislative movements regarding stablecoins and market structure. Such advancements, he contends, will facilitate crypto\u2019s entry into conventional finance.<\/p>\n

Additionally, institutional participation continues to expand. Major purchasers\u2014including asset managers, corporations, and even governments\u2014persist in accumulating Bitcoin. Hougan states that thus far this year, \u201cinvestors have funneled $4.3 billion into bitcoin ETFs,\u201d and he anticipates this figure to swell to $50 billion by year-end.<\/p>\n

Hougan also predicts a surge in stablecoins. The assets managed within stablecoins have risen to a historic $220 billion, reflecting a 50% increase from the previous year. With favorable legislation traversing through Congress, Hougan believes the sector could escalate to $1 trillion by 2027.<\/p>\n

Finally, the Bitwise CIO foresees a renaissance in DeFi and tokenization. Lending, trading, prediction markets, and derivatives are experiencing record elevated usage. Simultaneously, the tokenization of real-world assets is reaching all-time highs in assets under management, indicating that blockchain-based representations of traditional securities and commodities may be on the increase.<\/p>\n

Hougan revisits his July 2024 thesis to underscore the present opportunity. On the downside, markets must contend with the repercussions of Bybit\u2019s significant breach and the fallout from numerous memecoin ventures. Conversely, regulatory clarity, institutional inflows, stablecoin growth, and DeFi advancements persist unabated.<\/p>\n

\u201cThis is what I refer to as a no-brainer,\u201d Hougan remarked, emphasizing his position that substantial long-term aspects overwhelmingly eclipse the short-term challenges. He does issue a tempered caution, suggesting that this pullback might be more pronounced than last summer\u2019s decline: \u201cThe memecoin boom<\/a> was substantial, and the aftereffects could be more severe. It may take days, weeks, or months to navigate through it.\u201d<\/p>\n

Yet his conclusion remains steadfast: the long-term growth narrative is still intact. \u201cWhen that occurs, I prefer my investment on the long-term,\u201d he asserted, reiterating that patience can be beneficial in a market frequently influenced by headline-induced volatility.<\/p>\n

At the time of publication, BTC was trading at $88,349.<\/p>\n

\"Bitcoin
BTC price, 1-day chart | Source: BTCUSDT on TradingView.com<\/a><\/figcaption><\/figure>\n

Featured image generated with DALL.E, chart from TradingView.com<\/p>\n<\/div>\n


\n
Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Este art\u00edculo tambi\u00e9n est\u00e1 disponible en espa\u00f1ol. In a communication published on February 25, 2025, Matt Hougan\u2014Chief Investment Officer (CIO) at Bitwise Asset Management\u2014established notable parallels between the current crypto market and his observations from July 2024. Entitled \u201cShort-Term Pain, Long-Term Gain (Redux),\u201d Hougan\u2019s recent evaluation indicates that, notwithstanding the present downturn, the sector’s fundamental<\/p>\n","protected":false},"author":3,"featured_media":9035,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[22],"tags":[1460],"class_list":["post-9034","post","type-post","status-publish","format-standard","has-post-thumbnail","category-bitcoin","tag-gptreturn-a-list-of-comma-separated-tags-from-this-title-crypto-looks-like-july-2024-heres-what-happened-next-gpt"],"yoast_head":"\nThe Future of Crypto: Is History Repeating Itself in July 2024? - WSJ-Crypto<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/\" \/>\n<meta property=\"og:locale\" content=\"it_IT\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The Future of Crypto: Is History Repeating Itself in July 2024? - WSJ-Crypto\" \/>\n<meta property=\"og:description\" content=\"Este art\u00edculo tambi\u00e9n est\u00e1 disponible en espa\u00f1ol. In a communication published on February 25, 2025, Matt Hougan\u2014Chief Investment Officer (CIO) at Bitwise Asset Management\u2014established notable parallels between the current crypto market and his observations from July 2024. Entitled \u201cShort-Term Pain, Long-Term Gain (Redux),\u201d Hougan\u2019s recent evaluation indicates that, notwithstanding the present downturn, the sector’s fundamental\" \/>\n<meta property=\"og:url\" content=\"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/\" \/>\n<meta property=\"og:site_name\" content=\"WSJ-Crypto\" \/>\n<meta property=\"article:published_time\" content=\"2025-02-26T12:05:44+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/wsj-crypto.com\/wp-content\/uploads\/2025\/02\/Screenshot-2024-08-01-061706.png\" \/>\n\t<meta property=\"og:image:width\" content=\"1390\" \/>\n\t<meta property=\"og:image:height\" content=\"940\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"wsjcrypto\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Scritto da\" \/>\n\t<meta name=\"twitter:data1\" content=\"wsjcrypto\" \/>\n\t<meta name=\"twitter:label2\" content=\"Tempo di lettura stimato\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minuti\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/\",\"url\":\"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/\",\"name\":\"The Future of Crypto: Is History Repeating Itself in July 2024? - WSJ-Crypto\",\"isPartOf\":{\"@id\":\"https:\/\/wsj-crypto.com\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/wsj-crypto.com\/wp-content\/uploads\/2025\/02\/Screenshot-2024-08-01-061706.png\",\"datePublished\":\"2025-02-26T12:05:44+00:00\",\"author\":{\"@id\":\"https:\/\/wsj-crypto.com\/#\/schema\/person\/88a93723b30416db1a352d5a0096c4a7\"},\"breadcrumb\":{\"@id\":\"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/#breadcrumb\"},\"inLanguage\":\"it-IT\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"it-IT\",\"@id\":\"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/#primaryimage\",\"url\":\"https:\/\/wsj-crypto.com\/wp-content\/uploads\/2025\/02\/Screenshot-2024-08-01-061706.png\",\"contentUrl\":\"https:\/\/wsj-crypto.com\/wp-content\/uploads\/2025\/02\/Screenshot-2024-08-01-061706.png\",\"width\":1390,\"height\":940,\"caption\":\"Crypto Looks Like July 2024\u2014Here's What Happened Next\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/wsj-crypto.com\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"The Future of Crypto: Is History Repeating Itself in July 2024?\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/wsj-crypto.com\/#website\",\"url\":\"https:\/\/wsj-crypto.com\/\",\"name\":\"WSJ-Crypto\",\"description\":\"Just Another Crypto News Website\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/wsj-crypto.com\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"it-IT\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/wsj-crypto.com\/#\/schema\/person\/88a93723b30416db1a352d5a0096c4a7\",\"name\":\"wsjcrypto\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"it-IT\",\"@id\":\"https:\/\/wsj-crypto.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/86fe8af82ea089646d6639ca2f87e0243d8688d957bd8e3ec22ec3c457cc16d4?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/86fe8af82ea089646d6639ca2f87e0243d8688d957bd8e3ec22ec3c457cc16d4?s=96&d=mm&r=g\",\"caption\":\"wsjcrypto\"},\"url\":\"https:\/\/wsj-crypto.com\/index.php\/author\/wsjcrypto\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"The Future of Crypto: Is History Repeating Itself in July 2024? - WSJ-Crypto","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/","og_locale":"it_IT","og_type":"article","og_title":"The Future of Crypto: Is History Repeating Itself in July 2024? - WSJ-Crypto","og_description":"Este art\u00edculo tambi\u00e9n est\u00e1 disponible en espa\u00f1ol. In a communication published on February 25, 2025, Matt Hougan\u2014Chief Investment Officer (CIO) at Bitwise Asset Management\u2014established notable parallels between the current crypto market and his observations from July 2024. Entitled \u201cShort-Term Pain, Long-Term Gain (Redux),\u201d Hougan\u2019s recent evaluation indicates that, notwithstanding the present downturn, the sector’s fundamental","og_url":"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/","og_site_name":"WSJ-Crypto","article_published_time":"2025-02-26T12:05:44+00:00","og_image":[{"width":1390,"height":940,"url":"https:\/\/wsj-crypto.com\/wp-content\/uploads\/2025\/02\/Screenshot-2024-08-01-061706.png","type":"image\/png"}],"author":"wsjcrypto","twitter_card":"summary_large_image","twitter_misc":{"Scritto da":"wsjcrypto","Tempo di lettura stimato":"4 minuti"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/","url":"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/","name":"The Future of Crypto: Is History Repeating Itself in July 2024? - WSJ-Crypto","isPartOf":{"@id":"https:\/\/wsj-crypto.com\/#website"},"primaryImageOfPage":{"@id":"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/#primaryimage"},"image":{"@id":"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/#primaryimage"},"thumbnailUrl":"https:\/\/wsj-crypto.com\/wp-content\/uploads\/2025\/02\/Screenshot-2024-08-01-061706.png","datePublished":"2025-02-26T12:05:44+00:00","author":{"@id":"https:\/\/wsj-crypto.com\/#\/schema\/person\/88a93723b30416db1a352d5a0096c4a7"},"breadcrumb":{"@id":"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/#breadcrumb"},"inLanguage":"it-IT","potentialAction":[{"@type":"ReadAction","target":["https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/"]}]},{"@type":"ImageObject","inLanguage":"it-IT","@id":"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/#primaryimage","url":"https:\/\/wsj-crypto.com\/wp-content\/uploads\/2025\/02\/Screenshot-2024-08-01-061706.png","contentUrl":"https:\/\/wsj-crypto.com\/wp-content\/uploads\/2025\/02\/Screenshot-2024-08-01-061706.png","width":1390,"height":940,"caption":"Crypto Looks Like July 2024\u2014Here's What Happened Next"},{"@type":"BreadcrumbList","@id":"https:\/\/wsj-crypto.com\/index.php\/2025\/02\/26\/the-future-of-crypto-is-history-repeating-itself-in-july-2024\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/wsj-crypto.com\/"},{"@type":"ListItem","position":2,"name":"The Future of Crypto: Is History Repeating Itself in July 2024?"}]},{"@type":"WebSite","@id":"https:\/\/wsj-crypto.com\/#website","url":"https:\/\/wsj-crypto.com\/","name":"WSJ-Crypto","description":"Just Another Crypto News Website","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/wsj-crypto.com\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"it-IT"},{"@type":"Person","@id":"https:\/\/wsj-crypto.com\/#\/schema\/person\/88a93723b30416db1a352d5a0096c4a7","name":"wsjcrypto","image":{"@type":"ImageObject","inLanguage":"it-IT","@id":"https:\/\/wsj-crypto.com\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/86fe8af82ea089646d6639ca2f87e0243d8688d957bd8e3ec22ec3c457cc16d4?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/86fe8af82ea089646d6639ca2f87e0243d8688d957bd8e3ec22ec3c457cc16d4?s=96&d=mm&r=g","caption":"wsjcrypto"},"url":"https:\/\/wsj-crypto.com\/index.php\/author\/wsjcrypto\/"}]}},"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/wsj-crypto.com\/index.php\/wp-json\/wp\/v2\/posts\/9034","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/wsj-crypto.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/wsj-crypto.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/wsj-crypto.com\/index.php\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/wsj-crypto.com\/index.php\/wp-json\/wp\/v2\/comments?post=9034"}],"version-history":[{"count":2,"href":"https:\/\/wsj-crypto.com\/index.php\/wp-json\/wp\/v2\/posts\/9034\/revisions"}],"predecessor-version":[{"id":9037,"href":"https:\/\/wsj-crypto.com\/index.php\/wp-json\/wp\/v2\/posts\/9034\/revisions\/9037"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/wsj-crypto.com\/index.php\/wp-json\/wp\/v2\/media\/9035"}],"wp:attachment":[{"href":"https:\/\/wsj-crypto.com\/index.php\/wp-json\/wp\/v2\/media?parent=9034"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/wsj-crypto.com\/index.php\/wp-json\/wp\/v2\/categories?post=9034"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/wsj-crypto.com\/index.php\/wp-json\/wp\/v2\/tags?post=9034"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}