US Reopening Set to Trigger 100+ Crypto ETF Approvals in 2026
The US government’s return to normal legislative operations is expected to accelerate crypto exchange-traded fund (ETF) approvals in 2026, according to Bitwise CIO Matt Hougan. He predicts “ETF-palooza,” with over 100 new crypto ETFs and a surge in index-based ETPs as investors seek passive crypto exposure. Crypto ETFs have historically driven capital into digital assets, supporting price gains.
However, current ETF flows tell a mixed story. Canary Capital’s XRP ETF (XRPC) debuted with $58 million in first-day volume, yet XRP fell roughly 13% over the past week. Bitcoin ETFs have seen about $1.1 billion in outflows in November—on track for their worst month ever. The average cost basis for Bitcoin ETF investors is $89,600, just above spot prices, leaving many holders underwater. Long-term Bitcoin whales led October and November sales. These outflows underscore the short-term pressure ETFs can exert, even as forthcoming approvals may drive renewed market inflows and long-term bullish momentum.
Bullish
Anticipated SEC approvals of over 100 crypto ETFs in 2026 signal a significant influx of institutional capital into digital assets, likely boosting market liquidity and prices. Historical ETF launches have driven sustained inflows and bullish sentiment. Although recent heavy outflows from Bitcoin and XRP ETFs have exerted short-term downward pressure, the prospect of expanded ETF offerings—especially index-based ETPs—will attract passive investors and underpin long-term market growth. Traders can expect renewed bullish momentum as ETF approvals become a catalyst for capital rotation into crypto.