1 Unstoppable Cryptocurrency to Buy Before It Soars 2,101%, According to Cathie Wood's ARK Invest

Key Points

Cathie Wood is the chief executive officer of ARK Investment Management, which operates several exchange-traded funds (ETFs) focused on disruptive technologies. Cryptocurrencies are an area of focus for ARK, and it was one of the first firms to receive approval from the Securities and Exchange Commission (SEC) to launch a Bitcoin (CRYPTO: BTC) exchange-traded fund (ETF) last year.

Bitcoin is the world's largest cryptocurrency by market value, and ARK is extremely bullish about its future. In 2024, the firm issued a forecast that suggested the crypto could reach $1.5 million by 2030, implying a potential upside of 1,276% from its current price of $109,000 as of this writing.

But last month, ARK released a new report with a fresh set of predictions and revised its bull case to $2.4 million per coin by 2030, which implies it could soar by 2,101% instead. But how realistic is that target?

1 Unstoppable Cryptocurrency to Buy Before It Soars 2,101%, According to Cathie Wood's ARK Invest

A unique asset

Had you invested $1,000 in Bitcoin 10 years ago, it would be worth $451,600 today. The same investment in the S&P 500 index would have grown to just $2,730 over the same period. It now has a market capitalization of $2.18 trillion, so if it were a company, it would be the fourth largest in the world.

The digital coin has a unique set of qualities differentiating it from most other investible assets, and even most other cryptocurrencies. It's completely decentralized, so it can't be controlled by any person, company, or government.

It's also scarce thanks to a fixed supply of 21 million coins -- 19.8 million of which are in circulation (the rest will be slowly mined by about 2140). Lastly, it's built on a secure system of record called the blockchain, where transactions are publicly verifiable.

With that said, Bitcoin doesn't produce any revenue or earnings, nor is it very useful as a currency because of its extreme volatility, so it's still a highly speculative asset. It's more like a digital version of gold than a stock or the U.S. dollar, so further upside is contingent on the willingness of other investors to continually pay a higher price.

ARK points to three primary catalysts that could drive further upside

In ARK's new April report, it highlighted six catalysts to support its $2.4 million price target. But it pointed to three of them as primary catalysts, meaning they will have a much larger influence on the price between now and 2030:

OK