Cathie Wood Reiterates Her $1 Million Bitcoin Bet

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Despite the FTX melt­down and the con­sec­u­tive decline of the cryp­tocur­ren­cy mar­ket, the Founder and CEO of Ark Invest – Cathie Wood – stands by her pre­dic­tion that bit­coin will sky­rock­et to $1 mil­lion by 2030.

She also seems unfazed by the price crash of Grayscale’s Bit­coin Trust (GBTC) since her com­pa­ny pur­chased addi­tion­al 176,945 shares.

BTC Bull Regardless of the Reality

The shock­ing col­lapse of the cryp­to exchange FTX deep­ened the prob­lems in the cryp­to sec­tor and vapor­ized much of the investor inter­est. Even the most opti­mistic indus­try par­tic­i­pants believe it will take a long time for the mar­ket to get back on its feet, while oth­ers don’t see it hap­pen­ing at all.

Ark Invest’s Cathie Wood is not among that club. In a recent inter­view for Bloomberg, she dou­bled down on her fore­cast that bit­coin is head­ed toward $1 mil­lion per coin. In her view, such set­backs could be help­ful as they show which are the valu­able projects:

“Some­times you need to go through a cri­sis to see the sur­vivors. Bit­coin is com­ing out of this smelling like a rose.”

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Cathie Wood. Source: Bloomberg

Wood believes the only minus of the calami­ty is the reduced inter­est from major insti­tu­tions. How­ev­er, she thinks they will soon real­ize the mer­its of the pri­ma­ry cryp­tocur­ren­cy and embrace it. The enthu­si­asm toward BTC should return in the next cou­ple of years, mean­ing it will tap its mile­stone by 2030, Ark Invest’s exec­u­tive concluded.

She is also bull­ish on ether, say­ing it could be a sub­ject of mass insti­tu­tion­al adop­tion in the years to come.

This is not the first time Wood has set such an ambi­tious price tar­get for bit­coin. She joined Michael Say­lor in April to pre­dict that the asset will even­tu­al­ly tap that milestone.

Ark Invest Increases Exposure to GBTC

The val­u­a­tion of GBTC’s shares has sig­nif­i­cant­ly dropped due to the ongo­ing cryp­to win­ter. They cur­rent­ly trade at around $8.40, a 27% decline com­pared to last month’s figures.

Nonethe­less, Ark Invest con­tin­ues to enlarge its hold­ings and recent­ly pur­chased more than 176,000 shares worth approx­i­mate­ly $1.5 mil­lion. A week ago, the enti­ty bought anoth­er $273k shares. This came as a sur­prise since it occurred amid severe mar­ket tur­bu­lence caused by FTX’s catastrophe.

Grayscale’s GBTC is cur­rent­ly trad­ing at a 42.7% dis­count against BTC spot prices. It set the largest dis­count in the his­to­ry of the fund on Novem­ber 18, when the fig­ure hit 45%.

GBTC is the largest bit­coin fund and man­ages over 635,000 BTC. As of the moment of writ­ing these lines, that amount equals near­ly $10.5 billion.

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