ARK Investment Management LLC, an American investment management firm, predicts that Bitcoin’s (BTC) price could reach $1 million by the end of 2030. The Cathie Wood-led firm also postulates that Ethereum’s market cap could surpass $20 trillion for the same period.
ARK made these bold forecasts in a new search report titled “Big Ideas 2022” which seemed to suggest considerable optimism. In addition, the investment firm also asserted that BTC was just a fraction of overall global assets value. ARK analyst Yassine Elmandjra weighed in on the leading crypto’s appreciation potential, writing:
“Bitcoin’s market capitalization still represents a fraction of global assets and is likely to scale as nation-states adopt it as legal tender. According to our estimates, the price of one Bitcoin could exceed $1 million by 2030.”
Ethereum, which has a current supply of about 120 million, is slated to eventually merge to Proof-of-Stake. Once that happens, estimations suggest that the second-largest crypto by market cap will burn about 1 million tokens annually. At the end of ARK’s stipulated timeline, the total supply of Ethereum will be around 110 million. Therefore, taking ARK’s reasoning would mean that ETH would be changing hands at roughly $180K. Another way of examining ARK’s prognosis would imply that buying BTC at its current $37,800 price will yield a 26x return.
ARK has multiple actively-managed ETFs in its offerings and held $50 billion in AUM as of February 2021. However, those assets are now worth $24 billion after a sustained poor run.
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