Hunter Horsley, the CEO of Bitwise, has predicted a significant increase in the number of wealth management firms investing in Bitcoin exchange-traded funds (ETFs) by the end of 2024. According to Horsley, these firms are smart, well-informed, and increasingly convinced about Bitcoin's potential, with a long-term investment strategy.

This prediction comes as Bitcoin ETFs are expected to gain more popularity in the coming months, particularly after the Bitcoin halving event. The market seems to be leaning towards ETFs, with recent data showing that U.S. Bitcoin ETFs experienced a rise after five consecutive days of withdrawals just before halving day.

BlackRock's iShares Bitcoin Trust (IBIT) is rapidly gaining ground on Grayscale's Bitcoin Trust (GBTC), reflecting the shift in ETF holdings. IBIT currently has approximately $17.3 billion in assets, while GBTC has $19.4 billion, with only a $2 billion difference.

Grayscale, which has long held a dominant position in this segment, is now facing competition from Fidelity and BlackRock, who have taken significant stakes in their own ETFs shortly after launching them. This emerging trend is expected to significantly alter the developing market as private bankers increasingly explore Bitcoin through ETFs.