1 Top Cryptocurrency to Buy Before the Market Soars 1,100 , According to Cathie Wood s Ark Invest.

Cathie Wood s Ark Invest says the cryptocurrency market could soar 1,100 by the end of the decade.
That has positive implications for Bitcoin investors.
The dominant cryptocurrency, Bitcoin BTC -1.
74 , currently accounts for 51 of the entire crypto market by value, which itself is worth about 1.
65 trillion.
Bitcoin s dominance has ranged from 40 to 60 market share over the last three years.
Building on that, Cathie Wood s Ark Invest — an asset management firm focused on disruptive technologies like blockchain — believes the cryptocurrency market could be worth 20 trillion by 2030.
That implies about 1,100 upside from its current level, and it implies substantial Bitcoin price appreciation.
Specifically, if the broader cryptocurrency market reaches 20 trillion by 2030 and Bitcoin still accounts for 40 to 60 of that total, then the implied upside for the crypto falls between 840 and 1,400.
Before casting that estimate aside, consider what other asset classes are worth.
The global fixed-income market is valued at 130 trillion, the global stock market is valued at 110 trillion, and above-ground gold reserves are valued at 14 trillion.
In that context, a 20 trillion cryptocurrency market is plausible.
Bitcoin is in high demand among retail and institutional investors.
Bitcoin prices are a product of supply and demand.
However, because its source code limits supply to 21 million coins of which about 19.
6 million now circulate , demand is the only variable of consequence.
In other words, whether it becomes more or less valuable depends on whether demand increases or decreases.
And there is good reason to believe demand will increase.
Bitcoin is already in greater demand than other digital assets, as evidenced by its dominant position in the cryptocurrency market.
Furthermore, while digital wallets from PayPal , Block , and MercadoLibre allow users to buy select cryptocurrencies, only Bitcoin is accessible across all three fintech platforms.
Demand extends beyond retail traders.
A survey from consulting firm PwC found that institutional exposure to digital assets continued to increase in 2023, just as it did in 2022, and that Bitcoin and Ethereum remained the most popular digital assets by a wide margin.
Similarly, a recent report from consulting firm Ernst Young concluded that most institutional investors believe in the long-term value of blockchain and crypto digital assets, and plan to scale digital asset investments over the next two to three years.
That report also found that Bitcoin followed by Ethereum is the most popular digital asset among institutional investors.
The recent approval of spot Bitcoin exchange-traded funds ETFs is another sign of growing interest among institutions.
Specifically, a spot Bitcoin ETF was approved by the European Union in 2023, and 11 spot Bitcoin ETFs were approved in the U.
Spot Bitcoin ETFs could boost demand.
Spot Bitcoin ETFs buy the digital currency directly and, therefore, should track its price closely.
Those products reduce friction by offering Bitcoin exposure without the hassle of cryptocurrency exchange accounts and blockchain wallets.
Investors can effectively buy and sell Bitcoin through existing brokerage accounts by trading spot Bitcoin ETFs.
Some of the largest asset managers in the world now offer spot Bitcoin ETFs, including BlackRock No.
1 in size , Fidelity No.
3 , Invesco No.
13 , and Franklin Templeton No.
Those reputable firms are especially well positioned to boost demand for Bitcoin given their enormous clientele.
In fact, they collectively have more than 15 trillion in assets under management.
Ultimately, spot Bitcoin ETFs could unlock substantial demand from retail and institutional investors.
Indeed, Fundstrat analyst Tom Lee says Bitcoin could hit 500,000 by 2029, implying more than 1,000 upside from its current price of 43,000.
Ark Invest is even more bullish.
Wood and her team posit a base case where the price per bitcoin approaches 683,000 by 2030, implying more than 1,400 upside.
Bitcoin is a worthwhile investment, but only for certain investors.
Cryptocurrency is less polarizing than it once was, but volatility, risk, and regulatory uncertainty are still hallmarks of the market.
For that reason, investors with short time horizons less than five years and or an aversion to risk and volatility should steer clear of cryptocurrency.
On the other hand, patient investors comfortable with risk and volatility should consider keeping a small portion of their portfolios in Bitcoin.
But they should temper their expectations.
The colossal returns forecast by Ark Invest and other pundits are possible, but they are far from guaranteed.
Bitcoin has declined by 45 or more four times in the last five years, and similar declines are likely in the future.
Trevor Jennewine has positions in Block, MercadoLibre, and PayPal.
The Motley Fool has positions in and recommends Bitcoin, Block, Ethereum, MercadoLibre, and PayPal.
The Motley Fool recommends the following options short March 2024 67.
50 calls on PayPal.
The Motley Fool has a disclosure policy.
1 Top Cryptocurrency to Buy Before the Market Soars 1,100 , According to Cathie Wood s Ark Invest.
Cathie Wood s Ark Invest says the cryptocurrency market could soar 1,100 by the end of the decade.
That has positive implications for Bitcoin investors.
The dominant cryptocurrency, Bitcoin BTC -2.
78 , currently accounts for 51 of the entire crypto market by value, which itself is worth about 1.
65 trillion.
Bitcoin s dominance has ranged from 40 to 60 market share over the last three years.
Building on that, Cathie Wood s Ark Invest — an asset management firm focused on disruptive technologies like blockchain — believes the cryptocurrency market could be worth 20 trillion by 2030.
That implies about 1,100 upside from its current level, and it implies substantial Bitcoin price appreciation.
Specifically, if the broader cryptocurrency market reaches 20 trillion by 2030 and Bitcoin still accounts for 40 to 60 of that total, then the implied upside for the crypto falls between 840 and 1,400.
Before casting that estimate aside, consider what other asset classes are worth.
The global fixed-income market is valued at 130 trillion, the global stock market is valued at 110 trillion, and above-ground gold reserves are valued at 14 trillion.
In that context, a 20 trillion cryptocurrency market is plausible.
Bitcoin is in high demand among retail and institutional investors.
Bitcoin prices are a product of supply and demand.
However, because its source code limits supply to 21 million coins of which about 19.
6 million now circulate , demand is the only variable of consequence.
In other words, whether it becomes more or less valuable depends on whether demand increases or decreases.
And there is good reason to believe demand will increase.
Bitcoin is already in greater demand than other digital assets, as evidenced by its dominant position in the cryptocurrency market.
Furthermore, while digital wallets from PayPal , Block , and MercadoLibre allow users to buy select cryptocurrencies, only Bitcoin is accessible across all three fintech platforms.
Demand extends beyond retail traders.
A survey from consulting firm PwC found that institutional exposure to digital assets continued to increase in 2023, just as it did in 2022, and that Bitcoin and Ethereum remained the most popular digital assets by a wide margin.
Similarly, a recent report from consulting firm Ernst Young concluded that most institutional investors believe in the long-term value of blockchain and crypto digital assets, and plan to scale digital asset investments over the next two to three years.
That report also found that Bitcoin followed by Ethereum is the most popular digital asset among institutional investors.
The recent approval of spot Bitcoin exchange-traded funds ETFs is another sign of growing interest among institutions.
Specifically, a spot Bitcoin ETF was approved by the European Union in 2023, and 11 spot Bitcoin ETFs were approved in the U.
Spot Bitcoin ETFs could boost demand.
Spot Bitcoin ETFs buy the digital currency directly and, therefore, should track its price closely.
Those products reduce friction by offering Bitcoin exposure without the hassle of cryptocurrency exchange accounts and blockchain wallets.
Investors can effectively buy and sell Bitcoin through existing brokerage accounts by trading spot Bitcoin ETFs.
Some of the largest asset managers in the world now offer spot Bitcoin ETFs, including BlackRock No.
1 in size , Fidelity No.
3 , Invesco No.
13 , and Franklin Templeton No.
Those reputable firms are especially well positioned to boost demand for Bitcoin given their enormous clientele.
In fact, they collectively have more than 15 trillion in assets under management.
Ultimately, spot Bitcoin ETFs could unlock substantial demand from retail and institutional investors.
Indeed, Fundstrat analyst Tom Lee says Bitcoin could hit 500,000 by 2029, implying more than 1,000 upside from its current price of 43,000.
Ark Invest is even more bullish.
Wood and her team posit a base case where the price per bitcoin approaches 683,000 by 2030, implying more than 1,400 upside.
Bitcoin is a worthwhile investment, but only for certain investors.
Cryptocurrency is less polarizing than it once was, but volatility, risk, and regulatory uncertainty are still hallmarks of the market.
For that reason, investors with short time horizons less than five years and or an aversion to risk and volatility should steer clear of cryptocurrency.
On the other hand, patient investors comfortable with risk and volatility should consider keeping a small portion of their portfolios in Bitcoin.
But they should temper their expectations.
The colossal returns forecast by Ark Invest and other pundits are possible, but they are far from guaranteed.
Bitcoin has declined by 45 or more four times in the last five years, and similar declines are likely in the future.
Trevor Jennewine has positions in Block, MercadoLibre, and PayPal.
The Motley Fool has positions in and recommends Bitcoin, Block, Ethereum, MercadoLibre, and PayPal.
The Motley Fool recommends the following options short March 2024 67.
50 calls on PayPal.
The Motley Fool has a disclosure policy.