Cathie Wood Predicts Bitcoin at $1M, is Bullish on Coinbase Stock
- Cathie Wood said that the price of Coinbase stock will get a boost after the SEC’s lawsuit against Binance.
- Wood explained that the lawsuits against Binance and Coinbase are totally different.
- ARK’s current trading position for COIN is $1.77 billion, with an average entry price of $272.75 to $282.93.
- Wood said that she sees Bitcoin as “a hedge against inflation” while predicting that it will reach $1 million soon.
Cathie Wood, the founder, CEO, and CIO of Ark Invest, a popular investment management firm based in Florida, has predicted the price of Bitcoin (BTC), the world’s largest cryptocurrency, to reach $1 million in the near future, and in a recent interview, she also explained why she is bullish on Coinbase stock.
As per a report from Bloomberg, Cathie Wood stated that her flagship fund, Ark Innovation (ARKK), is filling its bag with the stocks of Coinbase (COIN) despite the United States securities regulator, the Securities and Exchange Commission (SEC), filing a lawsuit against the crypto exchange. This is because the SEC also sued Binance, the biggest competitor to Coinbase, which is its biggest threat.
ARKK purchased nearly 330,00 shares worth $17 million of the US-based crypto exchange on June 6, followed by two other exchange-traded funds (ETFs), Ark Fintech Innovation ETF and Ark Next Generation Internet, purchasing 35,700 shares (worth $1.8 million) and 53,900 shares (worth $2.8 million), respectively.
ARK’s current trading position for the COIN stock amounts to $1.77 billion, with the average entry price being $272.75 to $282.93. It is crucial to note that the funds are heavily down on their investments in the crypto exchange. Wood clarified that there is a huge difference between the lawsuits filed against Binance and Coinbase and believes that the latter will win against the SEC’s accusations.
The SEC alleges that Binance, Binance.US, and CEO Changpeng Zhao, or CZ, violated the Commodity Exchange Act along with several regulations of the Commodity Futures Trading Commission. Wood claims that these types of allegations “have nothing to do with Coinbase,” hinting that the exchange’s business is secure in the US.
In the interview, Wood further stated that she sees Bitcoin as “a hedge against inflation,” while adding that the leading cryptocurrency will soon reach the $1 million price tag. As per an earlier report from Bitnation, Cathie Wood recently confirmed that her firm purchased $19.9 million worth of Block shares as well.
305,573 more shares of Block were acquired by ARK Invest across six trades between June 7 and 8, making it the firm’s fourth largest position at 4.81%, while Coinbase is the seventh-largest position at 4.49%.
A crypto journalist with over 3 years of experience in DeFi, NFT, metaverse, etc. Parth has worked with major media outlets in the crypto and finance world and has gained experience and expertise in crypto culture after surviving bear and bull markets over the years.
