The price of Bitcoin is predicted to skyrocket to $500,000 in the next five years should firms continue to diversify their balance sheets into the crypto space, according to Ark Invest Chief Executive Cathie Wood.
- Wood believes the digital token could climb tenfold, but this is dependent on businesses investing at 5% of their funds to the digital token, and companies continually expanding their holdings.
- Wood is most optimistic about Bitcoin as it has been legalized in El Salvador, but also noted that she is fascinated with Ethereum given the boost of non-fungible tokens and decentralized finance. She prescribed a 60:40 Bitcoin-to-Ether portfolio.
- The optimism on Ethereum has shot up steeply given the transition of the digital token from proof of work to proof of stake, following its recent upgrade to 2.0 boosted the platform to enable smart contracts.
Panama and Ukraine are also in the works of adopting Bitcoin as legal tender.
BTC is up 1.55%, while ETH is up 0.24%.
Source: Markets Insider
