Cathie Wood, the CEO of Ark Invest, has been known for her optimistic predictions on Bitcoin's potential. In a recent interview with CNBC's "Squawk Box," Wood expressed an ambitious outlook for Bitcoin's future price, with a base case target of over $600,000 and a bull case of over $1 million by 2030.
This bold prediction is underpinned by Wood's belief in Bitcoin as a revolutionary concept -- the first global private digital rules-based monetary system.
The Ark Invest CEO argues that this new paradigm could cause significant shifts in global finance and contribute to deflationary effects in the economy. Wood contends that these deflationary implications could benefit Ark's funds, which have been negatively impacted by rising interest rates.Recalling recent market events, Wood noted the correlation between the instability in the banking sector and Bitcoin's price surge. She specifically referred to the collapse of regional banks in the U.S. early in 2023, which coincided with a significant increase in the price of Bitcoin.
This observation supports her theory that as traditional financial systems show signs of weakness, more investors are likely to turn to digital assets like Bitcoin.
Despite its volatility and regulatory uncertainties, Wood's perspective underscores her firm's commitment to the potential of Bitcoin and other cryptocurrencies. The timeline set by Wood — 2030 — might seem distant, but it shows Ark Invest's strategic long-term view on Bitcoin's role in shaping a new financial order.