Cathie Wood’s investment firm Ark Invest is optimistic on Bitcoin despite the market taking a nosedive in March.

On Tuesday, the firm, which has $6 billion in assets under management, told investors in a note that “Ark’s long-term outlook remains positive” on the top cryptocurrency.

“We believe policy changes and technological breakthroughs in areas like AI and robotics reignite spending and boost productivity,” Ark Invest wrote.

The memo does not elaborate on how the two technologies will pump Bitcoin’s value, but researchers have previously projected the combination of artificial intelligence and crypto to add $20 trillion to the world economy by 2030.

Ark Invest also cited deregulation and tax cuts as potential major drivers behind Bitcoin’s potential recovery from the current market chaos. US President Donald Trump has promised to cut taxes and relax crypto rules.

This week, those pledges failed to prevent Bitcoin from sliding below $80,000 for the first time since November. At press time it was trading around $83,500.

On Monday, investors pulled $430 million from US spot Bitcoin exchange-traded funds. Ark Invest’s Bitcoin ETF, called ARK 21Shares, led the exodus with $147 million in outflows, according to Coinglass. Ark Invest operates six crypto ETFs.

The crypto market has been swept up in a broader selloff as investors seek shelter from the effects of Trump’s on-again-off-again tariff policies. The S&P 500 Index has lost all its gains since Trump’s election victory on November 5, and is heading for a six-month low.

Trump has, in effect, thrown the globe for a loop. However, Ark Invest said that investors’ bearishness failed to see the big picture.

“In our view, the market has turned too pessimism-driven in response to current macroeconomic and geopolitical sentiment,” Ark Invest wrote.

Ark Invest’s optimism echoes that of other market watchers who have urged investors to be patient and suggested that Bitcoin and the broader crypto market.

Arthur Hayes, crypto influencer and chief investment officer at Maelstrom, is another to express that bullishness.

“I’m painting a very rosy future picture for Bitcoin even though the markets are currently in the shitter,” Hayes said earlier in March.

Andrew Flanagan is a markets correspondent for DL News. Have a tip? Reach out to aflanagan@dlnews.com.