Here’s How Much Just $100 In Bitcoin Will Be Worth If Cathie Wood’s BTC Prediction Is Correct

How Much Will Just $100 of Bitcoin Be Worth If Cathie Wood’s BTC Prediction Is True?

Founded in 2014, ARK Invest has quickly become one of the largest asset management firms in the world. Led by Cathie Wood, the company offers a range of investment products and services, focusing primarily on innovation and technology. The firm has partnered with 21Shares to launch a spot Bitcoin ETF (ARKB) in early 2024. The ETF and several others have been largely successful, raising over $3.2 billion in AUM.

Following the launch of the ETF, Cathie Wood attracted a lot of attention with her predictions about the future price of Bitcoin.

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“With this institutional green light from the SEC [Security and Exchange Commission] Our analysis shows that if institutional investors allocate just over 5% of their portfolios to Bitcoin (which we think they will over time), that alone would add $2.3 million. At an investor day conference in New York, Wood pointed out the projection I just gave you.

The new estimate is higher than at the beginning of the year. In January 2024, Wood stated that “Bitcoin could reach $1.5 million by 2030 after the bull case increases with this SEC approval.” This is a green light. Before endorsing spot ETFs, Wood predicted Bitcoin could reach $1 million by 2030.

Wood’s investment thesis for Bitcoin relies on significant institutional adoption. While it is plausible that the price could reach $3.8 million if institutional investors allocate 5% of their portfolios to Bitcoin, this is unlikely to happen until 2030. Although enterprise adoption has increased significantly in 2024, unprecedented changes will be required in the enterprise environment. for this to happen.

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The 2030 prediction also factors into the next Bitcoin halving, which is expected to occur in 2028. Historically, Bitcoin halvings are preceded by higher highs followed by higher lows. If this pattern continues into 2030, the price could peak around 2029 or 2030, which would potentially be in line with Wood’s price prediction.

If Wood is right and Bitcoin reaches $3.8 million, a $100 investment in Bitcoin today will be worth $5,510 in 2030. This represents a compound annual growth rate (CAGR) of over 95%.

The story continues

While the forecasts are bullish, Bitcoin’s 14-year CAGR is well over 220%, so it’s not entirely out of the question. But as Wood notes, it will likely require significant institutional investment.

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This article This is How Much Just $100 Bitcoin Would Be Worth If Cathie Wood’s BTC Prediction Is Correct originally appeared on Benzinga.com

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