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Bitcoin Is Flat Out Better Than Gold, Cathie Wood Says

Ark Invest has been placing actual cash the place its mouth is. In a single day — February 12 — the firm snapped up shares throughout three separate corporations tied to the crypto area.

According to buying and selling disclosures, Ark purchased 212,314 shares of Bitmine price roughly $4.2 million, 74,323 shares of Bullish valued at about $2.4 million, and 174,767 shares of Robinhood totaling practically $12.4 million.

These weren’t small, cautious strikes. They have been deliberate bets made throughout a stretch when Bitcoin has been dropping floor.

The Numbers Tell An Uncomfortable Truth

Bitcoin is down 26% to date this yr. Gold, by comparability, has climbed 19% over the identical interval. At the time of writing, Bitcoin was altering fingers at $63,200 whereas gold traded at round $3,180 per troy ounce.

Those figures don’t precisely help the case for dumping the outdated secure haven in favor of the new one — a minimum of not proper now. The hole between what Cathie Wood believes and what the market is definitely doing has by no means been extra seen.

Wood isn’t backing down. In a latest Bloomberg interview, the Ark Invest founder referred to as Bitcoin “fingers down” higher than gold — a robust declare for an asset that has spent most of this yr sliding.

Her argument isn’t constructed on this month’s value chart. It’s constructed on the place she thinks cash is headed over the subsequent decade. Reports say she views Bitcoin as a hedge that works in each inflationary and deflationary circumstances, a flexibility she believes gold can’t match in the identical method.

Younger Money Is Moving Differently

Part of Wood’s conviction rests on who’s doing the shopping for — and who isn’t. Institutional publicity to Bitcoin continues to be being constructed out, she famous, whereas youthful traders are more and more selecting digital belongings over bodily bullion.

Gold’s purchaser base is mature and nicely established. Bitcoin’s continues to be forming. That distinction issues to Wood as a result of it suggests the majority of Bitcoin’s demand hasn’t arrived but. Early adoption, in her studying, means there’s nonetheless an extended runway forward.

Ark’s portfolio displays that view. Bullish has climbed to the ninth-largest holding within the agency’s ARKF fund, carrying a 3.4% weighting valued at near $30 million.

Ark additionally holds positions in Block, Circle, and Coinbase — a group of bets that collectively paint an image of a agency absolutely dedicated to the concept that crypto-linked corporations shall be price way more within the years forward.

A Long Game In A Short-Term Market

The stress Wood is navigating is actual. Gold is profitable 2025 to date. Bitcoin will not be. But Ark’s shopping for exercise suggests the agency sees that hole not as a purpose to drag again, however as a window.

Reports be aware that Wood and her group stay targeted on adoption curves and structural shifts slightly than quarterly returns.

Featured picture from Kanchanara on Unsplash, chart from TradingView

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