Bitcoin to Surge by 5,300% to $3.8 Million Each: How to Profit According to Cathie Wood
The Bullish Forecast of Cathie Wood and the Rise of Bitcoin
Cathie Wood, the CEO of Ark Invest, is well-known for her bullish stance on cryptocurrency.
Recently, she has raised her long-term target price for Bitcoin, implying a massive gain not only for the crypto itself but also for the newly approved ETFs.
The Vision of Ark Invest
Ark Invest is a wealth management company focused on innovation.
Under Wood’s guidance, the company manages ETFs built around various technologies, including blockchain and cryptocurrency.
Ark has been bullish on Bitcoin for a long time, being the first fund manager to acquire exposure to Bitcoin back in 2015 when it was worth around $200.
Fast forward nearly a decade, and Bitcoin is now valued at $70,000, but Wood and her team still foresee significant upside potential.
In 2023, the company released a Bitcoin valuation model predicting a price of $1.5 million by 2030, representing a more than 2,000% increase from the current price.
However, Ark Invest revised its target upwards after the Securities and Exchange Commission (SEC) approved spot Bitcoin ETFs in January 2024.
The Revised Forecast and Investment Opportunities
Wood shared this information at the Bitcoin Investor Day conference last month, stating that institutional investors allocating just over 5% of their portfolios to Bitcoin could add $2.3 million to the projection, leading Ark to believe that Bitcoin could reach $3.8 million each, presumably by 2030.
The implied increase in the new target price surpasses 5,300%.
Investors looking to capitalize on this forecast may consider buying shares in one of the recently approved Bitcoin exchange-traded funds (ETFs).
Before the approval of ETFs, gaining direct exposure to Bitcoin was a complex and expensive process, involving creating and managing accounts on cryptocurrency exchanges with high transaction fees.
However, with the advent of Bitcoin spot ETFs approved by the SEC, investors can track Bitcoin’s price without the need for exchanges, high fees, or complex custody solutions.
The SEC has greenlit 11 spot Bitcoin ETFs, all tracking Bitcoin’s price with differences in expense ratios and issuer reputations.
For those considering the iShares Bitcoin ETF by BlackRock, it’s worth noting that it boasts one of the lowest expense ratios at 0.25% and is backed by BlackRock, the world’s largest asset manager with an excellent reputation.
