Every time the crypto market enters a dramatic phase, ARK Invest CEO Cathy Wood is one of the first investors I turn to to understand the changing dynamics on the charts.
Wood is an experienced investor in the digital asset market. In fact, he claimed that ARK Invest was the first public asset manager to gain exposure to Bitcoin (BTC) in 2015.
Related: Investors Panic as Bitcoin Crashes Below $80K Again
Bitcoin didn’t even reach the $500 price mark in 2015, but it was a significant increase since its launch in 2009. But Wood’s pro-crypto move faced sharp criticism.
However, the faith seems to have paid off over the years as Bitcoin reached new highs. ARK Invest predicts that the value of cryptocurrency will reach $1 million in 2030.
Wood also continues to buy shares of crypto companies such as:
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Coinbase (Nasdaq: COIN), America’s largest crypto exchange
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Robinhood Markets (Nasdaq: HOOD), an e-trading platform with crypto and tokenized stock offerings
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Block (NYSE: SQ), Jack Dorsey’s Bitcoin technology company
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Bitmine Immersion Technologies (NYSE: BMNR ), the world’s largest Ethereum (ETH) treasury company
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Bullish (NYSE: BLSH), the crypto exchange backed by Peter Thiel
Given Wood’s deep expertise in crypto investing, his perspective is understandable after Bitcoin fell below $80,000 on January 31st.
Lorenzo Valente, ARK Invest’s research director, digital assets, recently shared an analysis in which he compared the market cap of gold as a percentage of the US M2 money supply.
M2 is a broad measure of the US money supply (cash, checks, savings, money market funds).
According to the analysis, the market cap of gold is now 170 percent of the entire US money supply.
figure one all-time high (ATH); In fact, it’s as high as it was in 1934 during the Great Depression and slightly above the figure when inflation peaked in the 1980s, the chart shows.
In simple terms, gold is as expensive as it can be. Such peaks typically occur during periods of economic stress and dollar regime changes and often mark turning points, Valente said. For example, the price of gold fell by 60 percent after 1980.
Even now, it feels like a “pivot moment” and while no one knows what’s going to happen, those who know can reap huge benefits, he added.
When ARK Invest shared its 2026 outlook on January 15, the asset manager noted that the correlation between the price of Bitcoin and gold has been very low since the beginning of 2020 at 0.14.
This is exactly what Wood reiterated in his response to Valente’s X post. In simple terms, Bitcoin and gold usually do not move together on a daily or monthly basis.
