ARK Investment Management CEO Cathie Wood has reiterated her belief in bitcoin as the leading deflation hedge for the next decade. In a recent podcast, she stated that bitcoin‘s potential surpasses both gold and cash. This belief is rooted in the transformative influence of emerging technologies such as AI, EVs, robotics, genomics, and blockchain on market dynamics.
Despite a significant 64% plunge in bitcoin’s value in 2022 and prevailing inflation concerns, Wood remains steadfast in her prediction that bitcoin will cross the $1 million mark within the next decade. The cryptocurrency has more than doubled in value this year due to its potential as an inflation hedge and the market’s anticipation of the SEC‘s approval of bitcoin ETFs.
In partnership with 21Shares, ARK filed for a bitcoin ETF and invested in Grayscale Bitcoin Trust (GBTC) at a 40% discount through the ARK Next Generation Internet ETF last November. GBTC, the fund’s largest holding, has returned 224% this year, outperforming bitcoin’s own 114% rally.
Wood suggests that an impending convergence of AI and bitcoin could spark a global labor revolution. She attributes this transformative potential to the influence of emerging technologies on market dynamics.
