Bitcoin Plunges 45% From Peak as Bitwise CIO Defends Long-Term Viability

Bitcoin (BTC) has entered a significant market correction, falling more than 40% from its previous all-time high. Despite the sharp decline, Bitwise Chief Investment Officer Matt Hougan argues that the collapse does not signify a failure of the digital asset class. The downward trend is largely attributed to escalating geopolitical tensions and broader macroeconomic uncertainty affecting global markets. Furthermore, a distinct lack of immediate bullish catalysts has left the cryptocurrency struggling to find a stable price floor. This correction has sparked renewed debate over Bitcoin's long-term identity and its role within diversified institutional portfolios. While investor sentiment remains cautious in the short term, institutional leaders suggest that such volatility is part of the asset's broader maturation process.