Fresh off the t-zone of a tempestuous 2022, Bitcoin is slowly picking up the pace to touch the halfway mark on its all-time high. A reclaim in 2023 would mark the most remarkable comeback, especially among underwater holders except one — Cathie Wood.
The self-styled founder, CEO and Chief Investment Officer of ARK Investment LLC, in an annual public Bitcoin forecast, doubled down on her prediction for the cryptocurrency to reach $1 million by the turn of the decade.
Back in November 2022, when the forecast was made public per a Bloomberg interview, Cathie expressed optimism that the crypto market would need to “battle test and go through crisis” to bounce back. Bitcoin has since gained ~$7,000 in market value.
Lofty as it appears, Cathie’s ruthless conviction is rooted in the fundamentals. In a recent publication titled: Big Ideas 2023, Ark investment outlines the building block for such a brave guess, stating that institutional investors are still optimally keen on the prospects of real profits from various forms of blockchain investment. Fidelity, BNY Mellon, and BlackRock all deepened ties with the crypto market in 2022 through custom investment proposals.
The report highlights public blockchain as one of the five converging innovation platforms defining the current technological area. The rest four are Artificial Intelligence, Robotics, Energy Storage and Multiomic sequencing.
Narrowing down to the plausibility of Bitcoin’s surge, Ark observes that the compound annual returns for the BTC remained positive despite five separate drawdowns erasing an aggregated three-quarters of its value over a 14-year period.
Hash rate activities also scored record ATHs in the year under review, signalling an overall boost in blockchain security.
With a long-term holder supply index of 71.8% powered by close to 43.5 Million non-zero-balance BTC accounts, the report confirmed Bitcoin’s fundamentals as stronger, post-2022 setback, against other years.
Cathie, who is both bullish on $BTC and $COIN, took a swipe at the embattled FTX founder for his dislike for Bitcoin. She juxtaposed FTX’s centralized and opaque operations to Bitcoin’s decentralized and transparent functioning. In her words: “Bitcoin is still the best insurance policy” not just for the wealthy, who seek to protect their assets from the adverse effects of inflation, but also for “people living in emerging markets with hyperinflation [who] need a fallback option.”
Around the peak of market activities this week, Bitcoin briefly leapt beyond the $24,000 threshold before settling back into the conquered territory.