Cathie Wood, CEO of asset management and cryptocurrency ETF issuer ARK Invest, has long maintained an optimistic view on Bitcoin and her recent comments further solidify her bullish prediction for the largest cryptocurrency.
Following Donald Trump’s election victory over Vice President Kamala Harris last week and Bitcoin’s recent surge to an all-time high of $93,250, investor sentiment around Bitcoin has improved significantly.
Expected regulatory relief
In a recent interview on CNBC's Squawk Box, Wood discussed her expectations for Bitcoin's price trajectory. She stated that ARK Invest's target for 2030 is between $650,000 and, in a bullish scenario, between $1 million and $1.5 million.
Ark CEO attributes Bitcoin’s current bullish trend to a number of catalysts, most notably the expected regulatory easing that could come from the new Trump administration.
The 47th President of the United States has pledged to make significant changes, particularly in the leadership of the Securities and Exchange Commission (SEC), led by Gary Gensler and marked by litigation, the Wells announcement, and increased oversight of key industry players.
This has led to significant dissatisfaction during his three years at the regulator, prompting executives and investors in the digital asset ecosystem to call for changes to a clearer regulatory framework that could foster continued market adoption and growth.
However, Trump has promised to fire Gary Gensler on his first day in office, which is scheduled to begin on January 20. He has also pledged to make the US the “cryptocurrency capital of the world” with a new framework and support for digital assets, with Bitcoin at the center of his economic agenda.
This is echoed by industry advocates, as evidenced by the overall market rally led by the market's largest digital assets, which are up nearly 25% since Trump's election victory.
Bitcoin as a Unique Asset
During the interview, Wood also highlighted that ARK Invest was the first public asset manager to invest in Bitcoin when the coin was priced at just $250 in 2015. The asset manager believes that even at a price of approximately $90,000, Bitcoin still has significant upside potential.
According to Wood, Trump's victory is pivotal because it signals a shift to a more favorable regulatory environment for the cryptocurrency sector — an outcome she sees as important for Bitcoin's future.
Furthermore, Wood emphasized that Bitcoin has evolved into a distinct asset class, separate from traditional currencies. She believes that this shift shows that institutional investors and asset allocators are increasingly looking to include Bitcoin in their portfolios, recognizing its potential as a store of value and a hedge against inflation.
At the time of writing, BTC price is hovering around $90,120, still up 16% on the weekly timeframe, despite the current pullback over the past 48 hours.