Bitwise Asset Management today unveiled a new strategy for its crypto futures ETFs, transitioning them to trend-following funds that will alternate between cryptocurrency and US Treasuries based on market momentum. This innovative approach aims to enhance investor returns by capitalizing on crypto trends and providing stability during downturns.

The newly proposed ETFs, including the Bitwise Trendwise Bitcoin and Treasuries Rotation Strategy ETF, the Bitwise Trendwise Ethereum and Treasuries Rotation Strategy ETF, and the Bitwise Trendwise BTC/ETH and Treasuries Rotation Strategy ETF, will dynamically adjust their exposures. Utilizing a proprietary signal analyzing short-term exponential moving averages, these ETFs will pivot between assets—increasing crypto holdings during upward trends and switching to safer US Treasuries when the market hints at a downturn.

Set for a December 3, 2024 conversion, these changes require no action from current investors and maintain existing expense ratios and tax treatments. According to Bitwise, this strategic pivot is designed to mitigate risks and optimize returns, ensuring investor confidence through adaptable asset management.

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