Star stock-picker Cathie Wood has once again made a bullish prediction for the flagship cryptocurrency, Bitcoin. On Monday, the Ark Invest CEO said that she sees the asset surging to $500,000 in the next five years -- a projection she has now shared on two occasions.
During an interview at the SALT Conference, Wood stated that Bitcoin could hit $500,000 in the five years, given that companies continue to diversify their portfolios with the cryptocurrency.
The popular investor pointed at her firm’s research into institutional investments to back her statement. She added that the same analysis could also apply to other cryptocurrencies in the market.
Speaking of altcoins, Wood highlighted that Ark Invest has become increasingly confident about Ethereum as it transitions from proof of work to proof of stake model. She also talked about growing developer activity on Ethereum due to NFTs and DeFi and said:
Despite her optimism about Ether, Wood still favors Bitcoin over the second largest crypto. She indicated that if she could own only one cryptocurrency then she would choose Bitcoin "because countries are now deeming it legal tender."
However, in a sign of increasing confidence, she added that her firm will allocate 60% of its investment to Bitcoin and the remaining 40% to Ether.
With regulators in the US still considering the safety of Bitcoin ETFs, Ark Invest has started to explore offshore options to find new ways to get exposure to the asset.
According to Bloomberg, the investment manager is allowing one of its funds to invest in Bitcoin exchange-traded funds based in Canada. A recent filing indicates that the firm’s $5.7 billion ARK Next Generation Internet ETF has changed its prospectus to include a reference to holding “exchange-traded funds domiciled in Canada.”
Ark’s entry into the Canadian crypto market comes after Amplify Transformational Data Sharing ETF was revealed to have a small stake in three Canadian Bitcoin ETFs last week.