About a year ago, Ark Invest, an American asset manager, shared a remarkable prediction about the bitcoin price. It stated that bitcoin (BTC) will rise to an astronomical value of $1 million by 2030.
Despite a turbulent year, Ark Invest is sticking to its prediction that bitcoin could reach $1 million by 2030. This can be read in a new research report of the asset manager.
Today, @ARKInvest published the seventh edition of Big Ideas 2023. According to our research, the market value of disruptive innovation platforms could scale 40% at an annual rate during this cycle, from $13 trillion today to $200 trillion by 2030.https://t.co/CC03vRWyzA
— Cathie Wood (@CathieDWood) February 1, 2023
Bullish about bitcoin and crypto
According to Ark Invest, the fundamental value of bitcoin has not been adversely affected in the past year. The company argues that bitcoin has only become stronger:
Contagion caused by centralized counterparties has elevated bitcoin’s value propositions: decentralization, accountability, and transparency. The foundations of the network have become stronger and the basis of the holders is more focused on the long term.
Ark supports this claim by pointing to a higher one, among other things hash ratea higher percentage of offerings that have not been touched for more than a year and an increase in the number of ‘non zero‘ balances.
Besides bitcoin sees the future of decentralized finance (DeFi) and Web3 also look rosy according to Ark Invest:
“Cryptocurrencies and smart contracts could generate $20 trillion and $5 trillion in market value over the next 10 years.”
Bitcoin ETF disapproved
A few days ago you could read in the Bitcoin news that Ark Invest has applied for a bitcoin for the second time exchange traded fund (ETF) was rejected by the Securities and Exchange Commission (SEC). In April, the first attempt was rejected by the US regulator.
Currently, the SEC has only allowed ETFs based on BTC futures and not spot BTC. With a spot ETF, the fund manager actually buys bitcoin, while with a futures ETF, a fund manager only buys futures contracts.
A bitcoin spot ETF would open the doors wide for US institutional investors: it would become much more accessible and easier for them to invest in BTC.