Bitcoin to $1.5M? ARK Invest Says Institutional FOMO Is Just Beginning

- Possibility of Bitcoin Reaching $1.5 Million by 2030 - Strong Market Reaction as Institutional Investors Increase Bitcoin Exposure [Unblock Media] Cathy Wood, CEO of ARK Invest, claims that Bitcoin has the potential to reach $1.5 million by 2030, driven by the increasing exposure of institutional investors. This prediction is eliciting a strong response in the cryptocurrency market. Wood emphasized, "As the institutionalization of Bitcoin progresses, the likelihood of our optimistic scenario becoming a reality has increased." According to ARK Invest's report Big Ideas 2025, in the optimistic scenario, Bitcoin could record a compound annual growth rate (CAGR) of 58% over the next five years and surpass $1.5 million by 2030. In the base scenario, Bitcoin is expected to grow by an average of 40% annually, reaching $710,000 by 2030. The conservative scenario suggests a 21% annual growth, projecting a rise to approximately $300,000. These predictions gain further credibility as global asset management firms like BlackRock and Fidelity receive approval for Bitcoin exchange-traded funds (ETFs) and include cryptocurrencies in their investment portfolios. Indeed, Wood's investment forecast gained attention when she accurately predicted Tesla's stock surge in 2020. Another catalyst for the rise in Bitcoin's price is the supply shortage. Currently, there are about 2.5 million BTC left on cryptocurrency exchanges, the lowest level in the past five years. Historically, supply shocks have led to significant price hikes. In May 2020, after the halving event that reduced the mining reward from 12.5 BTC to 6.25 BTC, Bitcoin's price soared from $9,000 to $60,000 within a year. During the drop in exchange reserves in 2021, increased purchases by institutional investors further reduced the available Bitcoin, driving its price from $30,000 to $64,000. The Bitcoin halving scheduled for April this year is also likely to reduce supply and drive up prices. Currently, Bitcoin is trading below $100,000, and some analysts suggest that short-term gains will be limited. Iliya Kalchev, an analyst at Nexo, mentioned, "The breakthrough of $100,000 is a critical turning point," warning that "if it fails to surpass this level, there is a high possibility of a correction to $95,000 in the short term." Conversely, if surpassed, the next resistance level is anticipated to be $106,500. The primary macro factors impacting the market in the short term are as follows. The U.S. Federal Reserve's interest rate policy could improve investment sentiment towards Bitcoin if the likelihood of rate cuts increases. The inflow of funds into ETFs indicates that sustained buying by institutions could support prices. Global regulatory trends, including policies from the U.S. Securities and Exchange Commission (SEC) and China, are also likely to influence market sentiment. ARK Invest and major institutional investors hold a bullish long-term outlook for Bitcoin. Factors like supply reduction, institutional buying, and ETF approvals are converging, leading to analysis that Bitcoin could reach between $710,000 and $1.5 million by 2030. However, in the short term, the breakthrough of the $100,000 mark remains a key variable. Experts unanimously agree that given the high market volatility, a cautious approach is necessary.