Bitcoin (BTC) is "finally showing signs of a bottom," but the next bull market will be driven by a different set of forces, according to Matt Hougan, chief investment officer at Bitwise, one of the largest crypto index fund managers and a firm behind several spot crypto ETFs.

In a blog post on Wednesday, Hougan identified two entities that he believes are leading the convergence between crypto and traditional finance: Hyperliquid (HYPE) and Robinhood (HOOD). The resulting momentum, he argued, should "lift" major cryptocurrencies including Bitcoin and Ether.

Hyperliquid and Robinhood as Convergence Drivers

Hougan noted that BTC/USD is gaining ground against U.S. equities, but cautioned that investors should look beyond that dynamic for the next sustained crypto comeback. His thesis centers on a broader industry trend: the gradual blending of decentralized finance infrastructure with traditional brokerage and exchange rails, a theme that has accelerated since the approval of spot Bitcoin and Ethereum ETFs in the United States.

"So how should you start positioning for the new bull market?" he wrote. "By looking at two entities that are leading this convergence from opposite sides: Hyperliquid (HYPE) and Robinhood (HOOD)."

For Hougan, the next bull market will hinge on integrations that bring crypto-native advantages — such as 24/7 trading — into the traditional finance ecosystem.

"Today, nearly half the volume on Hyperliquid is in conventional assets like oil, silver, and the S&P 500. It's expanding into spot commodities, prediction markets, and options," he said of Hyperliquid, a Layer-1 blockchain and decentralized perpetuals exchange that has grown into one of the highest-throughput on-chain trading venues.

Hougan also pointed to competition from established traditional finance players, citing the Robinhood Chain layer-2 network as a catalyst for a broader crypto renaissance. Robinhood, which serves tens of millions of retail investors, has steadily expanded its crypto capabilities across trading, staking, and now its own blockchain infrastructure — a signal that mainstream brokerages are moving deeper into on-chain markets.

"I suspect the coming bull market will be big enough to lift most of the sector," he said. "I'm bullish on the majors — Bitcoin, Ethereum, Solana, etc. — and on crypto equities. But there are two types of investments I think are particularly well positioned."

The Bitwise executive has maintained an optimistic outlook on Bitcoin and the wider market throughout 2026. In February, he predicted that the end of crypto winter would arrive "sooner rather than later," adding: "Here's the good news: We're closer than you think."

Bitcoin Apparent Demand Shows Signs of Reversal

As Cointelegraph reported, Bitcoin traders broadly agree that while some bottom signals are already flashing, the bear market may still have several months or more to run. Spot demand has remained weak and become a key talking point even on shorter timeframes.

However, Bitwise sees a potential shift underway. In an X post on Thursday, Andre Dragosch, European head of research at Bitwise, described "re-accelerating" apparent demand for BTC.

Apparent demand measures the difference between newly mined BTC and the supply that has been inactive for at least one year. According to Bitwise data, this metric is already showing signs of reversal, a potential early indicator of improving market conditions.

Related: Bitcoin analysis eyes 'serious volume' after Binance sees 9K BTC daily outflow