Since major financial institutions have yet to fully embrace Bitcoin, Wood expects further fuel for its value to rise.
Ark Invest CEO Cathie Wood said that if institutions allocated about 5% of their portfolios to Bitcoin, Bitcoin could be worth more than $1.5 million per coin.
Wood made the remarks at the Bitcoin Investor Day conference in New York on March 22.
she says:
“If they do allocate more than 5% of their portfolios to Bitcoin as we expect since the SEC gave institutions the green light, that would add $2.3 million to our original price target of $1.5 million Dollar."
The company’s revised outlook points to the possibility of Bitcoin prices surpassing the $1.5 million mark, in line with widespread expectations for Bitcoin’s integration into the global financial system.
With large financial institutions yet to fully embrace Bitcoin, Wood expects its value to have further momentum to rise.
mathematically sound
This stance builds on Wood’s earlier predictions, particularly her assertion in January that Bitcoin could rise to $1.5 million by 2030 under an optimistic scenario. Shortly after the U.S. Securities and Exchange Commission approved the first spot Bitcoin ETF, Wood hailed the move as crucial to mainstream Bitcoin adoption.
Wood has long been a supporter of Bitcoin's growth potential, having previously set an ambitious $1.5 million price target for the flagship cryptocurrency.
Despite the buzz surrounding institutional investment potentially driving Bitcoin's value to higher peaks, Wood has chosen not to revise her forecast, instead suggesting that a path above $3.5 million is mathematically sound.
financial stabilizer
Wood also emphasized the growing importance of Bitcoin, especially in emerging markets amid heightened global economic volatility.
Wood said Bitcoin acts as a financial stabilizer in Nigeria’s economy, which is facing currency devaluation. Wood’s insights reflect her view of Bitcoin as a hedge against economic instability (a safe-haven asset) and a viable investment during periods of growth (a risk-on asset).
Bitcoin’s surge during the U.S. regional banking crisis further fueled its superior performance as a hedge against economic uncertainty. Bitcoin’s limited supply further solidifies its stance against inflation and positions it as a unique asset in the financial sector.
Wood’s vision for Bitcoin goes beyond its current status, seeing it as a cornerstone of the future financial landscape, especially as Bitcoin becomes increasingly sought after as a risk-mitigating asset in volatile economies.
She predicted that, supported by the emergence of Bitcoin ETFs and the inherent properties of digital currencies, she outlined a future in which Bitcoin would challenge traditional investment paradigms and provide a new blueprint for global financial stability and growth. #CathieWood #比特币预测
