Absolutely Massive: This Next Wave Is 10x Bigger Than BlackRock - Cathie Wood & Matt Hougan

Summary

In a recent interview, ARK Invest CEO Cathy Wood reaffirmed her bull case prediction of Bitcoin reaching $1.5 million by 2027. She believes the massive institutional demand for Bitcoin, evidenced by the successful launch of spot BTC ETFs like ARK's, makes this target likely. Wood expects an even bigger explosion in demand once major brokerages approve and offer these ETFs. Other experts like Bitwise's CEO concur, predicting over $100k per BTC by 2024. With limited supply but growing interest, they argue too much capital is chasing too few coins, necessitating a surge in Bitcoin's price discovery.

Takeaways

• 😲 Cathy Wood predicts a massive 23% price explosion for Bitcoin in the next 36 months
• 👍 The spot Bitcoin ETFs have been very successful so far
• 🔥 Cathy expects an even bigger explosion when major brokerages approve the ETFs
• 📈 Merrill Lynch, Wells Fargo and Morgan Stanley are considering offering spot Bitcoin ETFs soon
• 🌟 This is evidence of the success of the bitcoin products launched just 2 months ago
• 🚀 Cathy predicts super exponential growth from converging technologies in the next 5-10 years
• 😎 Unlike the dotcom bubble, today's innovations have been developing for over 30 years already
• 🏦 People are scared of another tech bubble and sticking to benchmarks, missing the opportunity
• 💡 The building blocks for today's innovations were planted during the dotcom bubble era
• 💰 Other experts also predict $100k+ bitcoin prices when wirehouses fully embrace the ETFs

Q & A

What is Cathy Wood's prediction for the price of Bitcoin in the next 3 years?

Cathy Wood is predicting a massive 23% price explosion for Bitcoin within the next 36 months.

What is the current status of spot Bitcoin ETF offerings from major wirehouses?

Major wirehouses like Merrill Lynch, Morgan Stanley and Wells Fargo have begun offering spot Bitcoin ETFs to selected clients with brokerage accounts, on request or unsolicited basis. These firms are making an abrupt U-turn to offer these products within 2 months of their launch.

How successful have the recently launched spot Bitcoin ETFs been?

The spot Bitcoin ETFs have seen great success so far. For example, ARKB Bitcoin ETF by Cathy Wood's firm has $2.03 billion in assets and $1.56 billion in flow, making it the 3rd largest Bitcoin ETF by total flow in assets.

Why does Cathy Wood expect an explosion in demand when wirehouses start offering spot Bitcoin ETFs?

Cathy explains that wirehouses dominate the customer base for her firm. So when they start offering spot Bitcoin ETFs to their large clientele, it will lead to a huge explosion in demand.

What is Cathy Wood's comparison between current innovations and the early 1900s?

Cathy explains that the last time we had multiple innovation platforms evolving simultaneously like today was in the early 1900s, which transformed societies. She sees today's innovations as being like that but on steroids.

Why does Matt Hougan predict the next wave of institutional interest will push Bitcoin price over $100K?

Matt argues the current interest has largely been from retail, hedge funds and independent financial advisors. With wirehouses entering soon, we'll see huge institutional capital driving more demand than supply, pushing prices over $100K.

What was the seed sown in the dotcom bubble that is leading to current innovations as per Cathy?

Cathy argues that the technologies spearheading current innovations were first developed in the dotcom bubble era of 1990s. They have been maturing for over 20 years now and are ready for primetime adoption.

What does Cathy mean when she says innovations today are exponential but also 'super exponential'?

She means we'll not only see exponential growth rates of 15-25% as seen during dotcom bubble, but due to convergence of multiple technologies we'll see even faster super exponential growth rates in future.

Why does Cathy say investors are 'running for the hills' and benchmark hugging today?

Because of bad experiences in dotcom bubble and 2008 financial crisis, investors are scared of hype cycles in new technologies. So they are moving investments to benchmark assets perceived as safe.

What lead to the dotcom bubble bursting as per Cathy and how is it different from today?

In dotcom bubble, too much capital chased few opportunities too soon when the technologies were not ready. Today these technologies have had 20+ years to mature and are ready for mass adoption.

Outlines

00:00

😊 Cathy Wood Predicts $1.5 Million Bitcoin Price by 2027

Cathy Wood gave a bull case prediction of $1.5 million for Bitcoin by 2027 at a Singularity University conference. She believes there is still time for that target as only 3 years have passed. The increasing institutional demand and Bitcoin's fixed supply of 21 million makes the high prediction likely.

05:01

📈 Long-term Bitcoin Holders Not Selling Despite Price Rises

Typically long-term Bitcoin holders sell when prices rise sharply but that has reversed recently. Cathy believes it's because they know institutions need to buy and prices will rise further. She expects an explosion when major brokerages add Bitcoin ETFs.

10:02

🚀 Super Exponential Growth Coming in Innovations

Cathy believes innovations across technologies will bring super exponential growth in the next 5-10 years. Unlike the dotcom bubble, the groundwork has been laid over decades so innovations are ready for prime time. She criticizes benchmarks for hindering necessary transformations.

Keywords

💡Bitcoin ETF

A Bitcoin ETF (exchange traded fund) allows investors to gain exposure to the price of Bitcoin without having to directly hold or custody the cryptocurrency. The video discusses the launch and success of several Bitcoin ETFs in 2022-2023, such as the ARK Bitcoin ETF run by Cathie Wood's investment firm. These ETFs are seeing huge demand from both retail and institutional investors.

💡institutional investors

Large professional investors such as hedge funds, pensions, endowments, etc. The video predicts a huge wave of institutional demand for Bitcoin and Bitcoin ETFs still to come, especially when major brokerage firms like Morgan Stanley and Merrill Lynch open up access.

💡wirehouses

Major brokerage firms that work with financial advisors and wealth managers, such as Morgan Stanley, Merrill Lynch, UBS, and Wells Fargo. Cathie Wood predicts an "explosion" in Bitcoin investment when these wirehouses begin offering Bitcoin ETFs to their clients.

💡$1.5 million price prediction

A very bullish prediction Cathie Wood made previously, forecasting Bitcoin could reach $1.5 million by 2027. She says there is still time for this prediction to be realized, given increasing institutional demand.

💡price discovery

The process of determining an asset's true market price based on supply and demand. With growing institutional interest, the next wave of demand could push Bitcoin into a new era of price discovery, possibly over $100k.

💡digital assets

Digital assets like Bitcoin and other cryptocurrencies are a new investable asset class that institutions are just starting to gain exposure to. Their demand is outpacing supply.

💡rules-based monetary system

Bitcoin has a rules-based monetary policy and issuance schedule that is not subject to human intervention or manipulation, unlike traditional government-issued fiat currencies.

💡on-chain analytics

Data and metrics derived from monitoring activity and transactions occurring directly on the Bitcoin blockchain. Cathie Wood cites on-chain data showing long-term holder behavior that supports bullish predictions.

💡disruptive innovation

Technologies like crypto, AI, robotics, and genomics that will profoundly transform industries and the global economy. Cathie Wood's investment strategy focuses entirely on disruptive innovation.

💡super exponential growth

Growth at extremely high rates (15-25%+ per year) that compounds over time. Cathie Wood argues we could see this type of growth across disruptive technologies, catalyzing enormous change.

Highlights

Kathy gave a bull case of $1.5 million for Bitcoin in 2027

Kathy believes there is still time for Bitcoin's price to climb that high

Kathy is predicting a massive 23% price explosion for Bitcoin within the next 36 months

When wirehouses like Morgan Stanley allow Bitcoin, there will be an explosion

Bitcoin is the first global private, digital, decentralized, rules-based monetary system

Institutions own nothing in this new asset class, they have to consider it

Merrill Lynch and Wells Fargo offering Bitcoin ETFs to selected clients

Morgan Stanley considering adding Bitcoin ETFs

Major wirehouses adding Bitcoin ETFs soon due to client pressure

Next wave of institutional capital will push Bitcoin price over $100K-

Bitcoin supply-demand imbalance is off the hook, too much demand

Bitcoin could surpass $200K before year end

The seeds for everything happening now were sown 20 years ago

We are ready for prime time with these innovations, unlike the 1990s

People are scared and hugging benchmarks, running for the hills

Transcripts

our bull casee was $1.5 million in 5

years so that would have been 2027 we

still have

time and we still think that's going to

be right um if you just look at the

institutional push into Bitcoin this new

asset class they have to consider it

there are 19.6 million Bitcoin out there

right now and the highest it will ever

goes 21 million uh well okay there's

real scarcity value and what what is

going to happen the price increase for

every institutional dollar pushing in

now is going to be much higher than it

was last year two years ago Kathy Wood

is the founder CEO and CIO of Arc invest

an investment management firm that

manages several actively managed exchang

traded funds based on disruptive

innovation Cathy and her investment

management firm are heavily invested in

Bitcoin and with the resounding success

of the spot Bitcoin ETFs the American

investor says she has become even more

bullish on the leading crypto asset

while attending a conference hosted by

Singularity University a few years ago

Cathy gave a bull case of $1.5 million

for Bitcoin in

2027 we are only about 3 years away from

that yet Cathy believes there is still a

lot of time for bit coin's price to

climb that high during her latest

interview with Peter D amandes a popular

American marketer entrepreneur and the

co-founder and executive chairman of

Singularity University Kathy explains

that the massive explosion in the demand

for Bitcoin thre the spot Bitcoin ETFs

makes it almost a certainty that prices

will get much higher in the coming years

Cathy is predicting a massive

23% price explosion for the leading

cryptocurrency within the next 36 months

during her discussion with Peter Kathy

also talks about the success of her

firm's AR KB Bitcoin ETF one of the spot

Bitcoin ETFs approved by the US

Securities and Exchange Commission in

January with the exception of gbtc AR

rkb is the third Bitcoin ETF by total

flow in assets with $ 2.03 eight billion

in assets and 1.56 3 billion in flow

according to recent data from bitmex

research though the ETFs have so far

being very successful Kathy says they

are about to get bigger as soon as an

important category of Brokers begins

offering them to their clients we will

now bring you clips from Cathy's

interview but before we do please take a

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your ETF it's done very well you're

number three now number three you know

this was David against gath and you know

uh so this is a a a a very nice win for

us now we're not finished and in fact in

our business what's interesting is the

wirehouses which dominate our customers

so Morgan Stanley all the advisers at

these warehouses Morgan Stanley UBS Mar

L at BFA Wells Fargo not one of them has

approved Bitcoin on its platform that

hasn't even happened yet and those are

our primary clients when that happens

wait until you see explosion this is not

just a

technology um it's a new asset class

right and beyond that it's a global

monetary system you know it is the first

Global uh private meaning no government

oversight digital and

decentralized rules-based that's the

most important word here rules-based

monetary system in history it's a big

idea it's you know we're going to get uh

into if these institutions really want

to own it what I found fascinating

recently just learned it this morning is

uh typically when you go through a price

move a bitcoin price move to the upside

you usually see long-term holders which

is a metric we monitor it's an onchain

analy analytics metric um and it means

people who have not moved or wallets

that have not moved their Bitcoin in 155

days or more yes well normally when you

go through a price move to the upside a

very nice one like we've seen in the

last year that tends to start moving

down and it did that true to form but it

has reversed in recent days because what

we learned is uh

gbtc sold some of its Bitcoin so that

was those wallets hadn't been changed in

a long time right now that is done at

least for the time being now that is

done and um it's going back up again as

the price goes up that's highly unusual

and I think it is because um the

long-term holder saying why would I sell

now when I know all these

institutions which own nothing own

nothing in this realm in this new asset

class they have to consider it because

it is a new asset class Kathy is

gleefully looking forward to when

wirehouses associated with big names

like Merill Lynch Morgan Stanley and

Wells Fargo will begin to offer these

spot Bitcoin ETFs she believes that

would be truly gamechanging for AR KB

other Bitcoin ETFs and the underlying

crypto asset fortunately that moment

might be sooner than we imagined

according to recent reports from

Bloomberg Merill Lynch the investment

arm of Bank of America and Wells Fargo's

wealth management unit have begun

offering access to the spot Bitcoin ETFs

to selected clients according to the

report which cited sources familiar with

the m

such clients must have brokerage

accounts and specifically request the

Bitcoin ETFs UBS group is also

reportedly offering some of the approved

spot Bitcoin ETFs to certain wealth

management clients with brokerage

accounts on an unsolicited basis the

Bloomberg report also revealed that

Morgan Stanley is considering adding

spot Bitcoin ETFs to its platform these

firms making an Abrupt U-turn less than

2 months after launch is just another

evidence of how successful the

bitcoin-based products have been let's

get back to Kathy's interview as she

speaks further about the coming

exponential growth in disruptive

Innovations in the financial

world uh exponential that concept the

last time investors heard it was during

the teeken Telecom bubble and for them

that end ended badly now they just don't

believe it they don't believe it's

possible to sustain growth rates at 15

20 25% plus per year but what we think

is going to happen is not exponential

growth but super exponential growth as

we get the

convergence between among Technologies

out there we think in the next 5 to 10

years uh you will not recognize the

world as we know it today when we're

trying to help people understand the

same thing again not just investors but

anybody um we often say the last time we

had multiple Innovation platforms

evolving at the same time was in the

early 1900s late 1800s early

1900s and and absolutely right that's

what you know got everyone off the farms

and uh into the new world right uh this

is the same but it's on steroid people

are scared and uh they are hugging

benchmarks because they don't want to go

through another Tekken Telecom bust they

don't want to go through another

Financial meltdown

people are talking about you know uh

another te another technology hype cycle

here so these are trigger words for them

right now so here's the irony here's the

irony in the late 90s I was there in the

late 90s the this idea of the internet

captured the Investor's imagination and

they started valuing companies on on

number of eyeballs potentially in 10 to

20 years to much Capital chased too few

opportunities too soon and it ended

badly the Technologies weren't ready and

they were too expensive so but what

people what what people do not

understand is the seeds for everything

Happening Now were swn during the the 20

years that ended in the teeken Telecom

bubble they've been germinating for 25

30 years we are ready for prime time and

unlike the late 9s

they're they're running away they're

running for the hills what are the hills

their benchmarks it's ridiculous

meanwhile kathywood is not the only one

excited about wirehouses offering spot

Bitcoin ETFs to their clients earlier

this week senior Bloomberg ETF analyst

Eric balchunis revealed that wirehouse

platforms are seriously looking at

adding the ETFs soon because of the

massive pressure from their clients in

an interview with CNBC on Thursday

bitwise CEO Matt hugan also talked about

an even bigger wave of institutional

demand once major wirehouses begin to

offer Bitcoin ETFs he said I think

there's an even bigger wave coming in a

few months as we start to see the major

wirehouses turn on the bitwise CEO

explained that the first wave of Bitcoin

ETF interest has largely been from

retail hedge funds and independent

financial

advisors so we're going to see the next

wave of institutional Capital coming he

added this is a new era of price

Discovery hugan also talked about

bitcoin's Supply demand imbalance

describing it as off the hook he added

that there's too much demand and not

enough Supply as such the next wave of

institutional interest would push

bitcoin's price substantially higher

possibly even surpassing bit wise's

initial $80,000 2024 prediction to hit

anywhere between $ 100,000 to

$200,000 or even higher before year end

what are your thoughts on Cathy and Matt

hugan super bullish prediction for

Bitcoin in 2024 and Beyond please drop

your comments and observations in the

comment section below also ensure you

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videos like this thanks for

watching