Cathie Wood said rising global volatility has created the conditions for another Bitcoin rally as investors continue to look for assets that can hedge wealth across borders.
Summary
- Cathie Wood says capital leaving unstable countries could drive Bitcoin’s next big rally.
- Wood says AI cannot replace Bitcoin as a wealth protection tool in times of uncertainty.
- ARK Invest added $25.54 million in Coinbase, SpaceX, Circle, Bullish, and Robinhood shares.
According to a June 27 X post by ARK Invest founder Cathie Wood, capital leaving economically and politically unstable countries is likely to give new impetus to Bitcoin and other digital assets.
He pointed out that although artificial intelligence has captured the attention of investors and a large portion of capital in the markets, it will not replace the role that digital assets play in times of uncertainty.
Bitcoin remains a hedge against global volatility
In his book, Wood said AI has introduced a technological revolution and is attracting huge investment, but he described digital assets as a kind of “insurance policy” to protect wealth when confidence in traditional financial systems weakens.
He linked the idea to growing capital outflows from unstable nations, saying those flows could “light another fire” under Bitcoin and the broader digital asset market.
Rather than directly competing, Wood suggested that AI and crypto serve different purposes in today’s investment landscape. While AI companies continue to draw new capital for their growth prospects, he argued that Bitcoin addresses a unique need by providing an alternative store of value that can cross borders more easily than many traditional assets.
His comments come as investors continue to weigh political tensions, inflation concerns, currency weakness in several regions, and uncertainty surrounding monetary policy. According to Wood, these conditions increase the demand for goods that can maintain purchasing power while being available outside of domestic financial systems.
These comments also follow the post of ARK analyst Lorenzo Valente, who argued that many investors are ignoring the original purpose of crypto. Valente wrote that although the market has become increasingly institutionalized, digital assets should not be considered a risky investment because they continue to act as a financial hedge in uncertain environments.
ARK continues to add crypto-related investments
Wood’s latest comments are in line with ongoing buying activity across ARK Invest’s exchange-traded funds.
According to ARK Invest’s latest daily disclosure, the company bought $25.54 million worth of shares from Coinbase, SpaceX, Circle, Bullish, and Robinhood.
Coinbase represents the largest acquisition in terms of value. ARK acquired 68,366 shares through the ARK Innovation ETF, the ARK Next Generation Internet ETF, and the ARK Fintech Innovation ETF. Based on Friday’s closing price of $149.06, the transaction was worth approximately $10.19 million.
SpaceX ranked second after ARK bought 45,728 shares through its four ETFs, including ARKQ and ARKX, for about $7.01 million using the company’s closing price of $153.23.
The investment manager also added 78,756 shares of Circle stock valued at approximately $5.79 million, as well as smaller purchases of Bullish and Robinhood shares worth approximately $1.34 million and $1.21 million, respectively.
The recent buying activity is consistent with Wood’s positive outlook on financial markets despite continued concerns about inflation and interest rates.
As crypto.news previously reported, he said interviews with investors across Asia and Europe showed that many expect inflation to persist and believe the Federal Reserve can tighten monetary policy further. However, Wood argued that incoming economic data points to a different outcome.
