Cathie Wood Doubles Down on Bitcoin: Will Stablecoins Lose Their Grip?

ARK Invest's CEO just fired another bullish flare into the crypto skies—but this one's sparking fresh debates about stablecoin dominance.

Wood's latest Bitcoin bet raises eyebrows

While Wall Street hedgies still treat crypto like a risky side hustle, Wood's throwing gasoline on her BTC price targets. The move comes as Tether and USDC face mounting regulatory heat—could this be the moment Bitcoin outmuscles its dollar-pegged rivals?

Stablecoins: The Trojan horses of crypto?

These dollar clones promised bridge between fiat and DeFi, but recent crackdowns expose their Achilles' heel: centralized control. Meanwhile, Bitcoin's chugging along like the decentralized juggernaut it is—no CEO to subpoena, no reserves to audit.

The punchline? Traditional finance still thinks it's calling the shots while innovators rewrite the rulebook. Again.

TLDR

• Cathie Wood reduced Ark Invest’s most bullish Bitcoin forecast for 2030 by $300,000.
• She said stablecoins are now serving emerging markets in ways once expected from Bitcoin.
• Cathie Wood stated that stablecoins are scaling faster than her team previously anticipated.
• Bitcoin recently dropped below $100,000 for the first time in four months during a market sell-off.
• Despite the forecast cut, Cathie Wood reaffirmed her long-term confidence in Bitcoin’s potential.

Cathie Wood has revised Ark Invest’s most bullish Bitcoin forecast for 2030, reducing it by $300,000. She said stablecoins are now handling roles once expected from Bitcoin in emerging markets, changing her outlook for digital asset adoption.

Cathie Wood Adjusts Bitcoin Target

Cathie Wood told CNBC’s Squawk Box that Ark Invest now projects bitcoin could reach around $1.2 million by 2030. She explained that stablecoins are fulfilling transactional functions that her team previously assigned to Bitcoin.

“So our bullish forecast out there is $1.5 million by 2030,” she said, “but we could take maybe $300,000 off that bullish case just for stablecoins.”

Cathie Wood said stablecoins are scaling faster than anticipated, reshaping the digital payment landscape. She emphasized that their use in emerging markets has accelerated sharply.

Stablecoins Take Over Transactional Role

Cathie Wood noted that stablecoins now serve daily payment purposes in developing economies. “Stablecoins are serving emerging markets in a way we thought Bitcoin would,” she said during the interview.

She added that this trend reflects broader adoption, saying, “Stablecoins are scaling here much faster than anyone WOULD have expected.”

Her comments indicate that Bitcoin’s role is evolving toward a store-of-value function.

Ark Invest originally positioned Bitcoin as a settlement network and global monetary system. Yet, stablecoins pegged to national currencies are now being used for transfers and remittances.

Cathie Wood acknowledged that institutions in the United States are also testing stablecoin payment systems. She said new financial products now include stablecoins at their Core for settlements.

Bitcoin Dips But Cathie Wood Stays Bullish

Earlier this week, Bitcoin dropped below $100,000 for the first time in four months. The decline followed broader sell-offs across risk assets, bringing temporary volatility to crypto markets.

At the time of her remarks, Bitcoin traded NEAR $102,510. Despite this pullback, Cathie Wood reaffirmed that her long-term view on Bitcoin remains intact.

“Bitcoin is a global monetary system,” she said, “it is the lead in a new asset class and a technology all in one.” She stressed that institutional adoption remains at an early stage, saying most firms have “just dipped their toes” in.

Cathie Wood stated, “We have just started, so we have a long way to go.” Her confidence suggests Ark Invest continues to see upside potential even with the revised forecast.

JPMorgan Analysts Highlight Deleveraging and Futures Trends

JPMorgan analysts led by Nikolaos Panigirtzoglou reported that Bitcoin futures markets have seen heavy liquidations since October. They said the most severe event occurred on October 10, marking a record liquidation in crypto history.

A second event on November 3 coincided with the $120 million Balancer exploit, which raised further security concerns. However, analysts said the deleveraging process in Bitcoin perpetual futures now appears largely complete.

They also observed similar trends in ethereum futures, though with less intensity. The ratio of open interest to market value has returned to normal levels.

In CME futures, more liquidations have occurred in Ethereum than in Bitcoin contracts. Meanwhile, outflows from crypto exchange-traded funds remain minor compared with strong inflows earlier in October.

The JPMorgan team compared Bitcoin’s risk level to Gold using volatility ratios. They said Bitcoin’s ratio to gold has dropped below 2.0, improving its relative stability.

With Bitcoin’s market value around $2.1 trillion, they estimated a 67% rise would match private-sector gold holdings. That scenario implies a potential Bitcoin price near $170,000.

As of now, Bitcoin trades near $103,000, up 0.2% in the past day. Cathie Wood maintains her stance that the broader crypto ecosystem continues to expand steadily. Her focus now turns to tracking stablecoin growth as digital payments evolve worldwide.