Cathie Wood Expects Bitcoin To Reach $500,000

Cathie Wood, founder, chief investment officer and CEO of Ark Invest, appeared on "The Bloomberg Businessweek" Wednesday for an interview.

Inflation Concerns: Wood told Bloomberg she thinks all assets are in a "risk-off period."

The innovation sector of the stock market has pulled back dramatically since February as a result of inflation concerns, Wood said.

These concerns were initially helping Bitcoin (CRYPTO:$BTC), she said. The cryptocurrency is a "very important" hedge against inflation, but Wood said she believes the current sell-off in Bitcoin is a correlation amongst all volatile assets.

Bitcoin Buying Opportunity: When the market becomes emotional, it's hard to predict the lows, Wood said, adding she thinks the sell-off in Bitcoin is a buying opportunity.

Wood went on to describe Bitcoin as the reserve currency of the crypto asset ecosystem, mentioning she expects Bitcoin to reach $500,000 per coin.

Bitcoin & Solar: The environmental concerns around Bitcoin that caused Tesla Inc TSLA CEO Elon Musk to retract the company's acceptance of Bitcoin as payment for vehicles will eventually be resolved, Wood told Bloomberg.

Bitcoin mining can be integrated into the distributed grid, she said. The excess energy from solar panels can be offloaded into Bitcoin mining, allowing the ecosystem to be much more economical. Wood noted that if this occurs, the solar industry will take off as Bitcoin mining becomes associated with the solar industry.

Price Action: Bitcoin is up 28.68% year-to-date.

At last check Wednesday at publication, Bitcoin was down 8.33% at $39,3285.80.

(Image by Eivind Pedersen from Pixabay)

Market News and Data brought to you by Benzinga APIs