Cathie Wood, CEO of Ark Investment, bets on the continuation of the “spectacular” growth of ETH. Its exposure to cryptocurrencies will therefore include a 40% share for Ether.
Will Ether supplant Bitcoin in terms of capitalization? For some crypto experts, this prospect is plausible because of the many uses allowed by the Ethereum blockchain, such as DeFi.
However, this is not yet the thesis defended by the famous Cathie Wood, patron of Ark Investment. In 2021, however, Ether is already showing much higher growth than Bitcoin.
NFT, ETH 2.0 and DeFi pull Ether
Moreover, she believes, this trend will not be called into question. However, Wood also continues to predict a dramatic rise in the value of BTC. Its price will increase tenfold over the next five years.
By 2026, Bitcoin would therefore cost around $ 500,000. But Ether should also appreciate strongly. Cathie Wood justifies this hypothesis by the growth of NFTs and DeFi, but also by the migration to ETH 2.0.
The leader does not just announce a prediction, however. Ark Investment intends to integrate this scenario into the very composition of its cryptocurrency portfolio. So, in the future, it should be 60% Bitcoin and 40% Ether.
For Wood, Bitcoin therefore remains the benchmark crypto currency. The adoption of BTC as legal tender in El Salvador allows it to retain this status. In addition, other countries could follow suit, she judges.
The growth of ETH is not over
As for ETH, its attractiveness as an investment is only growing. “I’m fascinated by what’s going on in DeFi, which is crashing the cost of financial services infrastructure in a way that displeases the mainstream financial industry today.“, Declared Monday the CEO.
Ethereum therefore enjoys considerable growth potential, she justifies. Indicators are already showing this. Over a year, the price of ETH was multiplied by more than 10, putting in May an ATH of more than 4,000 dollars.
And that’s only the beginning. “Our confidence in Ethereum has increased dramatically as we observe the beginning of the transition from proof of work to proof of stake,” says Cathie Wood.
However, this transition is not yet complete. However, the deployment this summer of the hard fork London and a cost-intensive update in the form of ETH, already contributed significantly to the price increase.
In the past few weeks, the price of Ether has once again flirted with $ 4,000. However, this dynamic suffered from the massive sell-off of Bitcoin and the sharp drop in its price. On September 15, ETH registered a nearly 3% increase to $ 3,400.