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Bitcoin volatility may fall further in 2026, according to Bitwise.
The firm said Bitcoin, Ethereum and Solana are all expected to reach new all-time highs in the new year.
Short-term risks remain for Bitcoin.
Bitcoin could become less volatile than high-growth U.S. technology stocks, such as Nvidia, by 2026, while both Bitcoin and Ethereum are likely to reach new record highs, according to crypto asset manager Bitwise, which cited growing institutional adoption and regulatory clarity.
In a series of predictions released this week, Bitwise stated that a maturing market structure and broader participation from long-term investors could significantly strengthen the cryptocurrency industry.
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Bitwise said Bitcoin’s volatility is expected to decline further in 2026, potentially dropping below that of Nvidia, one of the most actively traded and volatile stocks in the U.S. equity market.
The firm argued that Bitcoin’s investor base is evolving, with a rising share of ownership held by institutions and long-term allocators rather than retail traders.
That shift, Bitwise said, could dampen the sharp price swings that have historically defined the cryptocurrency.
Bitwise has released its 2026 predictions. | Source: Bitwise
“For all of 2025, Bitcoin has been less volatile than Nvidia,” Bitwise wrote. “Zoom out, and you’ll find that Bitcoin’s volatility has steadily declined over the past 10 years.”
Bitwise also said Bitcoin’s correlation with equities is likely to weaken.
Using rolling 30-day correlations, the firm noted Bitcoin’s correlation with the S&P 500 has rarely exceeded 0.50.
“We expect crypto-specific factors like regulatory progress and institutional adoption to drive performance,” Bitwise said, adding that this could allow Bitcoin to rise even if equity markets face pressure.
Ethereum, Solana and Institutional Adoption
Beyond Bitcoin, Bitwise predicted that Ethereum and Solana will set new all-time highs in 2026, provided U.S. lawmakers pass the proposed CLARITY Act.
The firm said stablecoins and tokenized financial assets are “megatrends,” with Ethereum and Solana positioned as major beneficiaries.
This is expected to coincide with U.S. regulators approving a wave of new products.
Bitwise projected that more than 100 crypto-linked exchange-traded funds could launch in the U.S. after the Securities and Exchange Commission (SEC) published generic listing standards in late 2025.
Bitcoin Price Outlook
Despite Bitwise’s longer-term optimism, some analysts remain cautious in the near term.
Valdrin Tahiri, an analyst at CCN, said Bitcoin’s technical structure remains bearish.
According to Tahiri, Bitcoin has entered the fifth and final wave of a corrective decline after breaking down from an ascending parallel channel.
“If the count is accurate, the Bitcoin price will fall to the $70,000–$72,000 range to complete its correction,” Tahiri said, adding that a significant bounce could follow once that move is complete.
At the time of reporting, Bitcoin was trading at around $87,950, down nearly 5% over the past week.
However, please note that market conditions remain volatile, and price projections are subject to change.
Kurt Robson is a London-based reporter at CCN, specialising in the fast-moving worlds of crypto and emerging technology. He began his career covering local news in Cornwall after graduating from Falmouth University with First Class Honours in Journalism. There, he cut his teeth on everything from council meetings to missing swans.
He quickly rose through the ranks to become a frontline journalist at several of the UK’s leading national newspapers. Over the years, he has interviewed musicians and celebrities, reported from courtrooms and crime scenes, and secured multiple front-page exclusives.
Following the upheaval of the COVID-19 pandemic, Kurt shifted his focus to technology journalism—just ahead of the AI boom. With a natural curiosity and a trained eye for emerging trends, he has found a new rhythm in reporting on innovation.
At CCN, Kurt's work focuses on the cutting edge of crypto, blockchain, AI, and the evolving digital world. Drawing on his background in people-first reporting and his deep interest in disruptive tech, Kurt delivers stories that are insightful, entertaining, and human-centric.
