ETFs will buy more than 100% of new BTC, ETH, SOL supply in 2026, Bitwise

Bitwise, the world’s largest crypto index fund manager, has made a prediction that institutional demand for crypto ETFs will exceed the new Bitcoin, Ethereum, and Solana supply in 2026. The asset management fund manages over $15 billion in client assets over 30 investment products.

The Chief Investment Officer of Bitwise, Matt Hougan and Head of Research, Ryan Rasmussen aired bullish sentiments about crypto, saying that demand from institutional investors in the long term will be more than the new supply.

New supply refers to new tokens entering into circulation through either mining, staking rewards or protocol issuance. They also highlighted institutional adoption and more mature regulations as the main drivers.

What’s Bitwise predicting for crypto in 2026?

In a recent publication where it made predictions about the crypto market, Bitwise said the supply of BTC, ETH, and SOL will be outpaced by institutional demand for crypto ETFs.

This can cause a supply squeeze for the three most popular crypto assets, which should result in positive price action. However, Bitwise cautioned that this is just a prediction, not a guarantee.

Crypto ETFs are seeing massive adoption, with traditional financial institutions like Morgan Stanley and Merrill Lynch giving their wealth management customers an opportunity to add crypto to their portfolios.

Since the launch of Bitcoin ETFs in 2024, ETFs have purchased 710,777 Bitcoins, almost double the 363,047 Bitcoins that have been mined in the same time frame, signalling a higher demand than supply.

Bitwise also predicted that over 100 crypto ETFs will launch in the US in 2026, giving investors more options to invest.

Bitcoin to break four-year cycle

Bitwise also made a prediction that Bitcoin is going to break its four-year cycle in 2026 as more institutional capital flows into the crypto market. Historically, BTC’s price has been tied to several factors, including halving events and retail speculation. However, Bitwise expects institutional funds, such as spot Bitcoin ETFs to become a dominant force shaping the market.

The investment manager credits regulatory approvals for the growth and adoption of crypto ETFs.

In 2025, the SEC made it a point of emphasis to streamline the listing process for spot crypto ETFs, significantly cutting down on approval timelines and creating a clearer, repeatable framework for issuers.

Since then, Bitcoin and crypto ETFs have gone from niche products into mainstream portfolio-building products.

Bitwise believes Bitcoin’s price behavior could begin to resemble that of a mature macro asset rather than a purely cyclical trade, bringing an end to the four-year cycle.

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