Cathie Wood, chief executive officer of investment management firm Ark Invest, continues to stand by her firm’s prediction that Bitcoin is likely to hit $1 million by 2030.
“You know, sometimes you need to battle-test, you need to go through crises to see the survivors first of all,” said the noted investor.
Wood has admitted that the ongoing debacle is likely to delay institutional adoption. High-profile investors will step back to figure out whether they really understand Bitcoin.
However, the superstar investor is convinced that institutional players might even end up being more comfortable with Bitcoin after doing their homework. “Once they actually do the homework and see what’s happened here, I think they might be more comfortable moving into Bitcoin and, perhaps, Ether as a first stop,” she added. Wood is convinced that institutions actually have to gain a better understanding of the two largest cryptocurrencies.
In January, Ark Invest forecasted that Bitcoin would reach $1 million by the start of the next decade in its "Big Ideas 2022" outlook report. The bullish prediction is based on the assumption that nation-states would start adopting the largest cryptocurrency as a legal tender. In addition, Ark Invest sees Bitcoin taking a bigger chunk of the global payment settlement market.
Prior to that, the star fund manager predicted that Bitcoin would be able to hit the $500,000 mark by 2026. She said that such an uber-bullish target would be achievable if institutional investors allocated at least 5% of their total funds to the flagship cryptocurrency.
At press time, Bitcoin is trading at $16,562.