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Author: Brayden Lindrea, Cointelegraph; Compiled by: Deng Tong, Bitchain Vision
ARK Invest CEO saidSince the launch of Spot Bitcoin Exchange Trading Funds (ETFs), investors have begun to shift from gold to Bitcoin (BTC).
“Bitcoin has been rising relative to gold. There is a more convenient way to get Bitcoin now, and we think this alternative phenomenon will continue.”ARK Invest’s Cathie Woods said in a conversation with chief futurist Brett Winton on the company’s YouTube channel on February 4.
Bitcoin-to-gold chart shared by Cathie Wood ARK Invest.Source: YouTube
Like gold, Wood expects Bitcoin to prove itself to be a “safe-haven asset” when the banking industry shows signs of weakness.
The CEO of ARK Invest said the market experienced this in March 2023, when the United States experienced a “regional banking crisis” that led to a 40% increase in Bitcoin prices.
“The regional banking index is collapsing, and now, the regional banking index is not doing well again,” she added.
“This idea of a flight to mass or flight to safety is reestablished here.”
According to a recent analysis by Fidelity,Bitcoin’s correlation with gold increased in 2023 and was decoupled from its previous situation of opposite relationship to interest rates, despite widespread global interest rates.
According to Longtermtrends data,The one-year rolling correlation between Bitcoin and gold is currently 0.80, the highest level of correlation ever.
One-year rolling correlation between Bitcoin and gold.Source: Longtermtrends
Regarding the launch of the spot Bitcoin ETF, Wood said she was not surprised by the price adjustment – Bitcoin fell 20% from $48,500 hours after its launch to $38,740 on January 24, according to CoinGecko.Before the release, Wood predicted that the release would trigger a “news sell-off” incident.
However,She pointed out that 15 million of the 19.5 million bitcoins currently in circulation have not been passive in 155 days, so they are still in the hands of “strong people”, which may indicate that most bitcoin holders are taking a longer-term perspective..
Wood’s company is one of the 10 ETF issuers that launched the Bitcoin ETF (called ARK 21Shares Bitcoin ETF) on January 11.
BitMEX research data shows that after the end of last week’s transaction, the Ark 21Shares ETF currently holds $705.8 million worth of Bitcoin.Only Grayscale GBTC, BlackRock’s IBIT and Fidelity’s FBTC products hold more bitcoins.
According to Cathie’s ARK data, Wood-led ARK Invest also became a big buyer of cryptocurrency exchange Coinbase Stock (COIN) in February 2022, currently holding 7.187 million shares of multiple ETFs worth $843 million.
However, the company has been selling COIN since June 7, when it held 11.43 million shares.
