Ark Investments CEO Cathie Wood reiterated her bullish outlook on Bitcoin (BTC), predicting it will soar to over $1 million by the end of 2010.
She made this prediction in an interview with Bloomberg Markets, in which she attributed Bitcoin's rise in value to a finite supply of 21 million coins and increased interest from institutional investors. She pointed out that BTC has already exceeded $108,000 in 2024 and will continue to grow in the coming years.
According to Mr. Wood,
“Bitcoin’s scarcity is unparalleled.”
He also highlighted its resilience to inflationary pressures compared to traditional assets such as gold. Unlike gold, whose production increases as the price rises, Bitcoin's supply is fixed, making it increasingly attractive as a store of value.
Wood also highlighted that adoption by institutional investors, particularly through Bitcoin exchange-traded funds (ETFs), has amplified BTC's appeal and fostered broader recognition of BTC's role in the global financial system. .
M&A activity expands under the Trump administration
Wood also predicts a wave of mergers and acquisitions (M&A) among startups under President-elect Donald Trump, whose administration has already made some pro-crypto moves.
According to Mr. Wood,
“Regulatory barriers have been a major impediment to M&A activity, but that is likely to change.”
He noted that changes are expected in Federal Trade Commission (FTC) policy that could lower regulatory hurdles and foster a more favorable environment for private sector transactions. He added that these changes could allow venture-backed companies to access new liquidity opportunities.
Wood added that expected deregulation could trigger a surge in market activity as companies regain the freedom to engage in acquisitions without restrictive oversight. She argued that this is critical for startups seeking growth or exit opportunities in a dynamic economic climate.
Crypto-friendly policy changes
Mr. Wood welcomed the nomination of Paul Atkins, a known digital asset advocate, to replace Gary Gensler as Chairman of the Securities and Exchange Commission (SEC).
She described the move as a turning point for the crypto industry and hopes for a more balanced regulatory approach that could accelerate innovation and investment in the space.
Comparing Bitcoin's market capitalization of $2 trillion to gold's $15 trillion valuation, Wood emphasized the untapped potential of BTC, saying it has significant room for growth as global adoption expands. He suggested that there was.
According to Mr. Wood,
“The crypto market is still in its infancy.”
Wood's dual outlook on Bitcoin's unprecedented growth and a surge in startup acquisitions reflects her confidence in a deregulated environment that fosters innovation and economic expansion.
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