Cathie Wood’s Bull Case for Bitcoin
• Despite the recent drop in its value, Ark Investment Management remain optimistic about the future of bitcoin.
• The market cap of bitcoin has grown significantly and long-term investors now own 71% of the total supply.
• Exchanges are becoming more transparent and NFTs are focusing on real value and utility instead of speculation.
Bitcoin’s market capitalization (market cap) as of November 21, 2022 was $393 billion, compared to just $58 billion five years earlier. This tremendous growth in market cap points to an increasing number of long-term investors who are becoming more focused on the long-term potential of bitcoin and less likely to sell in response to short-term fluctuations in its value.
Exchanges have become increasingly transparent over the past few years due to a decrease in trust in centralized crypto entities. This increased transparency is seen as a positive sign for the future of bitcoin, as it gives investors peace of mind when trading digital currencies like Bitcoin.
Non-Fungible Tokens (NFTs)
The NFT market has also matured significantly over time, with analysts noting that trading volume increased 15% year-over-year at the end of 2022. Furthermore, NFTs have shifted towards projects that focus on real value and utility instead of pure speculation, which is seen as a healthy development for cryptocurrency markets overall.
Overall, Cathie Wood’s bull case for Bitcoin remains strong despite recent drops in its value. The increasing amount of long-term investors combined with exchange transparency and maturation within the NFT space all point towards a bright future for Bitcoin and other digital currencies alike.