Cathie Wood, the CEO of investment management firm Ark Invest is a known Bitcoin bull. In a recent interview, Wood was asked about her Bitcoin price projection in the next five years, to which she responded with a figure of $500,000 per Bitcoin claiming she believes the price of the top cryptocurrency would increase by ten folds in five years.
"We believe that the price will be tenfold of where it is today so instead of $45,000 over $500,000," says @CathieDWood on her #bitcoin price target over 5 years to @andrewrsorkin at @SALTConference. "Our confidence in ether has gone up dramatically." pic.twitter.com/bIPyLRv6yg
— Squawk Box (@SquawkCNBC) September 14, 2021
Wood-led Ark Invest has invested millions in Bitcoin via Grayscale Bitcoin Trust ($GBTC) and has also made direct investment in crypto companies such as Coinbase. Wood during the conference said, she believes institutions would continue to explore the crypto market and many more would add BTC to their balance sheets.
When asked whether she would only stick to Bitcoin investments or explore other options, Wood said Bitcoin is the default option given countries have now started to deem it as legal tender, referring to El Salvador’s Bitcoin adoption.
Wood’s Confidence in Ether (ETH) is Growing
Wood went on to claim that Ether, the second-largest cryptocurrency by market cap has huge potential given the growing developer activity and new ecosystems such as Defi and NFT growing on top of it. The wood showed a special fascination towards the Defi market. She explained,
“Ether, however, is seeing an explosion in developer activity thanks to NFTs and DeFi,” she said. “I’m fascinated with what’s going on in DeFi, which is collapsing the cost of the infrastructure for financial services in a way that I know that the traditional financial industry does not appreciate right now.”
The investment veteran advocated for a 60:40 allocation in Bitcoin and Ether respectively. Wood’s Ark Invest is also looking to expand its investment to crypto ETFs, eyeing Canadian Bitcoin ETFs in absence of any regulated crypto ETFs in the US.