Why Cathie Wood is bullish on Coinbase stock and believes Bitcoin will reach $1 million
2 min read
In an interview with Bloomberg, ARK Invest CEO and chief investment officer Cathie Wood recently
Bitcoin to $1 million?
In her conversation with Bloomberg, Wood reiterated her view that “Bitcoin is a hedge against inflation.” Yet she also noted that she sees deflation as a substantial risk going forward. Despite this, she remains bullish on the Bitcoin price, holding firm to her $1 million target.
Bitcoin experienced a golden cross back in February, with the 50-day exponential moving average (EMA) moving above the 200-day EMA. Volumes have been declining, along with the Chaikin money flow, suggesting the potential for sideways trading for the time being.
Even in a deflationary environment, Bitcoin can still outperform due to it being “an antidote to counterparty risk in the traditional financial system,” according to Wood.
Given that three of the four largest bank failures in U.S. history have occurred in the last three months, she could have a point.
The next Bitcoin halving event is less than one year away. Investors are currently in the “accumulation” phase of the cycle, as seen in the graph below.
Will the next cycle top see Wood’s $1 million price prediction come to fruition?
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.
