The scarcity of Bitcoin supply increases confidence in the USD 200K target for 2025, according to Bitwise executive

Bitwise's Chief Investment Officer, Matthew Hougan, stated that a Bitcoin supply shock is coming, driven by increased institutional demand.

Matt Hougan, chief investment officer of Bitwise, predicts that Bitcoin

BTC

€94,462

will reach USD 200,000 by the end of 2025 due to a supply shock from rising institutional demand.

In an interview with Cointelegraph at Consensus 2025 in Toronto, the executive said that Bitwise's Bitcoin price prediction model is based solely on supply and demand metrics. Hougan outlined the specific figures driving the forecast:

"We know that miners will produce 165,000 BTC this year. Publicly traded companies have already bought more than that. Exchange-traded funds have brought in USD 6 billion. We believe that governments are going to buy. We see this kind of structural difference between demand and supply."

"I think that will ultimately exhaust sellers at the USD 100,000 level where we have been stuck, and I believe the next stopping point above that is USD 200,000," said the executive. Bitwise is one of the issuers of Bitcoin exchange-traded funds (ETFs) in the U.S. markets, with nearly USD 4 billion in assets under management through its Bitwise Bitcoin ETF (BITB) as of May 14.