Bitwise moves on from meme tokens and focuses on 4 lasting crypto trends

The “meme token celebration” has ended, and Bitwise is concentrating on the progress patterns of four virtual currencies.

* During Tuesday’s market collapse, the digital currency market lost more than $276 billion.
* Meme tokens were the key sufferers of this collapse.
* Bitwise’s Principal Investment Officer highlighted the progress patterns of four other virtual currencies that are more appropriate for lasting investment.

This week, the piercing sound that digital currency traders detected wasn’t just their portfolios in free fall.

It was also the funeral bell of the notorious meme token division in the digital currency industry. At least, that’s what Matt Hougan, Principal Investment Officer of asset management firm Bitwise, trusts.

In current weeks, the devastating launches and collapses of numerous high-profile meme tokens have formally brought the most attention-grabbing and energetic part of the field to a standstill in the past year.

The funds linked with the record-breaking $1.5 billion Bybit hack were consequently used to launch meme tokens on the Solana project Pump.fun, which undoubtedly didn’t help, according to Bybit. Pump.fun rapidly blocked and erased the token.

Hougan stated that these two things together formally led to the “end of the meme token celebration.”

And it’s better to vanish forever.

He stated: “The overall argument is the same: the short-term news is awful, and the lasting news is good. When this occurs, I prefer to put my money into lasting investments.”

## What does the future hold for digital currency?

Hougan’s company offers a variety of digital currency exchange-traded products, and he says he is concentrating on four lasting patterns.

> What virtual currencies are presently digesting is the end of the meme token increase. Melania, Libra, and the Lazarus Group use meme tokens to wash stolen ETH, which will completely stifle it. Maybe not today, but within 6 months.

The silver lining is, we have substitutes available…”

– Matt Hougan (@Matt_Hougan), February 25, 2025

Notwithstanding the meme tokens and those hacks worth millions, Hougan is still optimistic about the sector.

He is wagering heavily on stablecoins, forecasting that the market will more than increase fourfold if the stablecoin law is approved. Significant fintech participants, even individuals at the Fed, are intently monitoring these tokens. Furthermore, let’s remember that the $230 billion stablecoin market (those cryptos tied to the dollar) has experienced substantial expansion over the previous eight months.

Bitwise’s CIO emphasized that while the DeFi area is still significantly below its peak, the increased activity in lending protocols, derivatives, and prediction markets indicates a resurgence. He anticipates that these funds will absorb $50 billion by the year’s conclusion.

Despite the fact that Tuesday saw unprecedented outflows from Bitcoin spot ETFs, Hougan is quick to remind everyone that the billions already invested in these products are a reason to remain hopeful.

In the meantime, the SEC has been actively suspending or discontinuing investigations into numerous crypto firms, including Coinbase, Uniswap Labs, and Robinhood’s digital asset business.

There is considerable crypto legislation advancing on Capitol Hill, such as a measure to establish a transparent framework for stablecoins in the United States, and another to clarify which regulator will supervise the crypto markets.

He emphasizes the sustained expansion of the stablecoin market, the ascent and resurgence of decentralized finance, increased acceptance of cryptocurrencies by institutional investors, and a change in the atmosphere on Capitol Hill. The Rise of Ethereum Applications: The Emergence of Stablecoins Issued by Banks

“This is what I refer to as a straightforward decision.”

Crypto Market Mechanics

The cost of Bitcoin is remaining consistent, experiencing a marginal decrease of 0.8% in the past 24 hours, presently valued at $88,267. Conversely, Ethereum has risen by 1.1%, being exchanged at $2,455.

**What is capturing everyone’s attention today:**

* The SEC has stopped its inquiry concerning Uniswap Labs.
* Specialists suggest that the significant Bitcoin decrease on Tuesday signified rock bottom.
* An analysis of the present market collapse.
* Are image-based cryptocurrencies approaching a downfall? These 8 diagrams could hold the key.
* Bitcoin plunged. Arthur Hayes along with six specialists are forecasting the future.