Bitwise's Chief Investment Officer Matt Hougan believes that the regulatory environment for Bit assets is improving, and that neither Donald Trump nor Kamala Harris being elected as US President will change this trend, which is particularly beneficial not only for Bit, but also for other cryptocurrencies.
The price of Bit has risen to near its all-time high in recent days, partly driven by the momentum of the US election (to be held on November 5).
"Of course, in the short term, cryptocurrencies are more inclined towards a Trump victory than a Harris victory, but the fact is that Bit doesn't need Washington to succeed," Hougan said in an interview with Yahoo Finance on Wednesday. "Institutions are entering this field, adoption is rising, and ETF fund flows are happening, and I think it will rise regardless."
Regulatory Clarity
That said, Matt Hougan believes a Trump victory will have a greater impact on Ethereum and other Altcoins, "regulatory clarity is actually more important for the so-called Altcoins." He said:
"These coins are more susceptible to regulatory risks, so I expect that in the event of a Trump victory, Altcoins will rebound, even more so than Bit. But in any case, I think both will rise."
Hougan said that since the US Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) have declared Bit a commodity and accepted Bit spot ETFs, Bit has clearer regulation than Ethereum and other digital assets. He said the situation is not the same for Solana ($SOL), Aptos ($APT) and other Altcoins.
Hougan said, "I speculate that if we have a new SEC, this will become clear, which will drive institutional adoption, and we will see a rising tide lifting all Blocks." He expects that regardless of the scenario, 2025 will be better for cryptocurrencies than 2024.
