'Sign You're in a Bear Market?' Bitwise CEO Reacts to Major Bitcoin Development

In a recent market development, Vanguard, the world’s second-largest asset manager, decided to allow ETFs and mutual funds that primarily hold cryptocurrencies to be traded on its platform, reversing a long-standing position.

Beginning on Tuesday, Vanguard will allow ETFs and mutual funds that primarily hold select cryptocurrencies, including Bitcoin, Ether, XRP and Solana, to be eligible for trading on its platform. This move marks a U-turn in Vanguard's long-standing view that digital assets are too volatile and speculative for serious portfolios and comes following the recent sell-off of cryptocurrencies, which wiped out more than $1 trillion in market value since early October.

The announcement follows late September speculation about the move and opens access to more than 50 million brokerage customers, accounting for over $11 trillion, to regulated crypto wrappers.

This news did not gain much of the market's attention, and this triggered a reaction from Bitwise CEO Hunter Horsley, who was surprised that such a development was met with silence from the crypto market.

"Sign you're in a bear market? The 2nd largest brokerage in America flips it's policy from sell-only to allowing crypto ETF purchases. And no one is fired up," Horsley reacted in an X post.

The crypto market is on shaky ground after a weeks-long sell-off that began when some $19 billion in leveraged bets were wiped out in early October.

The Bitwise CEO highlighted increasing mainstream crypto acceptance, a positive despite the recent bearish sentiment on the market: "Whether people are stoked right now or not, crypto is rapidly entering the mainstream."

Positive developments expected for Bitcoin

Even with a recent price sell-off, crypto ETFs remain one of the fastest-growing segments in the history of U.S. funds. Vanguard's capitulation is seen as a positive, implying that traditional finance can no longer resist the gravitational pull of digital assets.

The week ahead is set to provide insights on the state of the economy as policymakers consider the path of interest rates going into 2026. Economic data is likely to shape expectations for whether the Federal Reserve continues its rate-cutting cycle or not.

In a recent tweet, the Bitwise CEO hinted at something coming for Bitcoin next week, saying that the Bitwise team "has something fun planned for Bitcoin next week."