Cathie Wood reiterates that Bitcoin will act as a safe haven in an ongoing banking crisis

ARK Invest The CEO, Cathie Wood, has made new proclamations about it Bitcoin USD price could see significant gains amid the ongoing financial crisis that has caused a loss of confidence in traditional banks. In a video posted on ARK Invest’s official website YouTube Wood reviewed the current situation facing banks in the US and Europe, and reiterated his belief that this will attract more investors to the Bitcoin market. She believes investors will be motivated by the properties of the digital currency as a store of value.

Wood’s statements are in line with what she has said previously on other occasions. For example, in a recent interview with Bloombergshe stated that Bitcoin will gain much more attention among institutional investors, who will see it as a diversification opportunity, much like they did with real estate in the 1970s.

One of the main characteristics of Bitcoin that Wood emphasizes is its scarcity, as there will only be a limited number of units available on the market due to the limited nature of mining. This, combined with increasing demand, can lead to a significant price increase.

“Bitcoin is a store of value and an investment. Limited to 21 million units, so right now the inflation rate is 1.8% per year, that’s what is mined. In a couple of years it will halve to under 1% and keep halving until you coming to the 21 million…

We’re at 19 million units right now. So let’s see [Bitcoin] go from $19,000 to [almost $29,000] in a couple of weeks, it’s proof positive that people believe it’s a store of value, that developers, coders, programmers who have built in this mathematical measurement aren’t going to change it.”

Wood’s enthusiasm for Bitcoin has made her a popular figure in the cryptocurrency community. She has estimated that the digital currency could reach over $1,500,000 per unit by 2030. While some see this prediction as valid, others see it as overly ambitious.

Despite high expectations for the digital currency, regulatory challenges in the US remain a concern. The recent lawsuit from US Commodity Futures Trading Commission against Binance and its CEO, Changpeng Zhao, have negatively affected the price of Bitcoin and other digital currencies.

Furthermore, have Securities and Exchange Commission’s (SEC) made significant ripple effects on the regulatory side, most recently sending a Wells notice to Coin base which sent shockwaves across the cryptocurrency industry, with experts expressing concern over the regulator’s approach to regulating the market.

It remains to be seen how the regulatory scenario will develop and how the current banking situation will play out. Nevertheless, Cathie Woods believes in Bitcoin’s potential as a store of value, coupled with its scarcity and growing demand, may see her ambitious forecasts come true in time.

This article was originally published on The Dales Report and appears here with permission.