Cathie Wood Predicts Bitcoin Boom: 'More Scarce Than Gold,' Eyeing $1 Million By 2030

Cathie Wood Predicts Bitcoin Boom: ‘More Scarce Than Gold,’ Eyeing $1 Million By 2030

December 21, 2024

Cathie Wood, CEO of ARK Invest, has reiterated her optimistic outlook on Bitcoin (BTC) in a recent interview with Bloomberg, suggesting that significant political and regulatory changes could propel the cryptocurrency to new heights.

Bitcoin To Exceed $1 Million By 2030?

With the election of Donald Trump, Wood anticipates a surge in private-company acquisitions that have been hindered by a “regulatory red tape,” which she believes will unlock substantial opportunities for investors and venture capitalists.

During her interview, Wood highlighted that alterations at the Federal Trade Commission (FTC) are likely to revitalize merger-and-acquisition activity, paving the way for what she terms “liquidity events.”

This shift could lead to a more dynamic market environment where strategic buyers can actively assess and bid for innovative companies, ultimately enhancing price discovery.

“M&A has been prevented by the FTC. That is going to change,” Wood asserted, emphasizing that these developments could significantly alter the financial landscape.

In her continued advocacy for Bitcoin, Wood reiterated a bold prediction: the cryptocurrency could surpass $1 million by 2030. This assertion is grounded in the coin’s recent price rally, which has seen Bitcoin climb to over $108,000.

Wood attributes this growth not only to market dynamics but also to the inherent scarcity of Bitcoin, which is capped at a total supply of 21 million coins.

She draws a stark contrast between Bitcoin and gold, noting that while increased gold prices typically lead to higher production rates, Bitcoin’s fixed supply ensures that its scarcity will only intensify over time. “It is becoming even more scarce than gold,” she stated, reinforcing her belief in Bitcoin’s unique value proposition.

Wood Highlights Musk’s Role In Overcoming Regulatory Hurdles

Wood’s investment philosophy has garnered both acclaim and criticism, particularly regarding her high-risk bets on emerging technologies.

Her ARK Innovation exchange-traded fund (ETF), valued at $6.7 billion, has experienced significant volatility, reflecting the challenges and rewards associated with investing in disruptive sectors. Nonetheless, Wood’s predictions for both Bitcoin and Tesla have proven prescient, yielding considerable returns for investors.

Additionally, Wood expressed confidence in Elon Musk’s new initiative focused on streamlining government operations, aptly named the Department of Government Efficiency (DOGE). She believes Musk’s experience with regulatory hurdles positions him uniquely to effect meaningful change in governmental structures.

“He just knows he can change the world faster than he already has if he got some of those obstacles out of the way,” Wood remarked, suggesting that Musk’s influence could lead to a more favorable environment for innovation.