So, here’s the scoop from Cathie Wood, the big shot at ARK Invest. According to her, once the big players in the financial game get their hands on a Bitcoin exchange-traded fund (ETF), we might see the price of Bitcoin soaring. She spilled the beans in a recent chat with CNBC, where she casually mused about the approval of the ETF by the U.S. Securities and Exchange Commission (SEC) and whether it’s going to be a “sell-the-news” kind of deal.
Wood, who knows her way around investments, thinks that betting against the ETF approval might not be the clever move everyone thinks. “Sell-on-the-news” might not be the play of the day because, you know, if everyone’s expecting it, the game has probably already been played. It’s all short-term jazz, she says. What’s crystal clear for her is that, looking ahead five years, the influx of moolah into this fresh asset class, especially from the big shots and regular folks alike, is going to be hefty. Just a sprinkle of attention from institutional investors, and bam! Bitcoin, already a bit hard to come by, will be sky-high.
Wood, who’s been on the Bitcoin bandwagon since forever, thinks BTC is snatching some of gold’s spotlight. It’s like a cool new substitute, gradually taking over as the go-to store-of-value. She throws in some numbers – gold, a $12 trillion deal, Bitcoin, maybe around $800 billion right now. According to her crystal ball, if institutions throw in just 2.5% to 5% of their portfolio into Bitcoin, we’re looking at a major boost. She’s all about those institutional flows, predicting a domino effect – 0.5%, then 1%, and we’re off to the races.
And here’s the kicker – Bitcoin is on the brink of being the cool kid in town because, out of the 19.5 million BTC in existence, about 15 million are chilling in long-term wallets. These folks haven’t budged their Bitcoin in over 155 days. With only 21 million units ever up for grabs, it’s like finding a needle in a haystack. So, buckle up because BTC is currently cruising at $46,853. Let’s see where this wild ride takes us!
