Cathie Wood reassures: Bitcoin cannot be stopped
Investment star Cathie Wood has reassured investors that no one will be able to make Bitcoin disappear.
In fact, the founder and CEO of Ark Invest said that it will be impossible to shut Bitcoin down and that she even expects regulators to become more friendly to cryptocurrencies over time, out of fear of missing out on opportunities provided by this innovation.
Wood spoke yesterday at the Consensus 2021 conference and talked in particular about the problems coming from China, and the objections raised by Elon Musk, regarding bitcoin mining and the environmental risks involved.
Cathie Wood, bitcoin and the environment
According to Ark’s founder, the focus on environmental factors has probably led to a pause in the purchase of BTC by institutional investors, but she still expects the value to rise in the long term.
The point is that the environmental risks associated with large consumption of energy produced from unsustainable sources could continue to discourage traditional investors in particular, both those who buy BTC as a store of value and those who are driven solely by speculative interests.
“Half of the solution is understanding the problem. This auditing of what miners, certainly in North America, are willing to do around how much of their electricity usage is generated by renewables is going to bring that topic into stark relief, and will encourage an acceleration in the adoption of renewables beyond which otherwise would have taken the place”.
On the other hand, Ark had already speculated in the past that this issue might even accelerate the energy transition to renewables, so we are probably in a long transition phase during which the foundations for a more sustainable future could be laid, not only as far as Bitcoin is concerned.
These days the price of BTC continues to fail to return above $40,000, often fluctuating between $36,000 and $40,000. This highly volatile lateralization has been going on for almost ten days now, since 19 May when the price of bitcoin hit its lowest level in months, just above $30,000.
Given that the bull run which took the price of BTC from $10,000 to almost $65,000 in just over four months was supported in no small part by large institutional investors, the scenario described by Wood would be a good explanation as to why the price now seems to be only continuing to go sideways.