Wood maintains that “We still have time and we firmly believe in that outcome. Considering the institutional push towards Bitcoin, as a new asset class, it becomes a fiduciary duty to take it into account.”
ARK Investment Management CEO Cathie Wood called Bitcoin (BTC) a “financial superhighway,” highlighting important use cases for the cryptocurrency in emerging markets.
In fact, she indicated that Bitcoin could have another $2.3 million added to its current goal. Remembering that in January her company had set a goal of $1.5 million in the near future. Wood said the price of bitcoin could easily surpass $3.5 million, although she declined to give a specific new price target. “Bitcoin has a long way to go,” she said instead, pointing to her earlier announcement of a $1.5 million price target.
Wood’s Ark Invest shared a Bitcoin outlook: “Last year we presented our bullish stance in favor of Bitcoin, it was $1.5 million. With this institutional green light that the SEC has provided, even if it has done so kicking and screaming, the analysis we have done is that if institutional investors allocated a little more than 5% of their portfolios to Bitcoin, as we believe they will with the time, that alone would add $2.3 million to the projection I just gave.”
X user @madmilker posted the following on March 22:
“Most likely all by billionaires that think not only there is value in something that can’t move a f***ing inch without a currency like the face of George Washington on US dollars that has been fueling the World economies ever since Americans witness the last US trade surplus in 1975 when the total US debt was only $533 billion dollars moves the s**t but also by each one of those billionaires thinking their shit don’t stink by being able to pump pure [crap] that f***ing sky high.”
Ark has been highlighted as one of 11 companies, which received approval from the United States Securities and Exchange Commission (SEC) earlier this year to launch Bitcoin spot ETFs.
Since the arrival of these products on the market, demand has experienced an unprecedented increase, reaching historic levels of capital inflows into US ETFs. This trend has generated a positive effect on the demand for cryptocurrencies themselves, as funds invest directly in and hold them.
Cathie Wood Still Betting on Bitcoin
In a talk at the Bitcoin Investor Day Conference in New York, hosted by Reflexivity Research, Cathie Wood, the Queen of the Stock Market, told moderator Anthony Pompliano that with more institutions entering the crypto world and new ETF products, mathematically speaking, Bitcoin’s price could easily surpass $2 million, above its current target. In reality, he indicated that “Bitcoin has a way to go.”
Wood, whose Ark Invest recently became one of the issuers of a spot Bitcoin exchange-traded fund (ETF), ARKB, said the asset manager is focused on Emerging Markets and the global macroeconomic environment, which has been “shocked” by the US federal government’s increase in interest rates, she said during the fireside chat in New York.
“There are signs that all is not well in the world,” she said of countries like Nigeria, one of the biggest adopters of Bitcoin due to the sharp depreciation of the country’s currency. Therefore, Wood sees Bitcoin as a risk-free asset and a risky asset.
Wood said she hopes the next halving will have a similar effect to previous events. In the 12 months following the three halvings in 2012, 2016 and 2020, the price of Bitcoin rose 8%, 284% and 559%, respectively.
By Leonardo Perez
