Cathie Wood, founder and CEO of Ark Invest and one of Bitcoin's biggest and most vocal advocates, has made important statements regarding BTC.
Speaking to Fox Business, a US media outlet, Cathie Wood said that the long-standing four-year cycle structure has been broken.
Wood noted that Bitcoin's volatility used to be extremely high, experiencing drops of up to 90% during correction years. These fluctuations were part of a predictable four-year cycle.
However, this is no longer the case. The CEO of Ark Invest noted that volatility has decreased significantly in the last few years. At this point, Wood believes that the four-year cycle has been broken due to the decrease in volatility and the rapid influx of large-scale investors into Bitcoin.
“Volatility in Bitcoin used to be high, with drops reaching 75-90%. However, volatility has decreased recently, and Bitcoin has only experienced a 30% drop.”
There was a fear of a 4-year cycle in Bitcoin, but we believe that this cyclical structure has now been broken.
Wood attributes this transformation to the increasing power of institutional investors, whose participation helps stabilize the Bitcoin price and minimizes significant declines. According to Wood, this increased institutional demand represents a crucial moment that could prevent further significant drops in Bitcoin's history.
Wood also stated that he believes Bitcoin hit its bottom a few weeks ago.
*This is not investment advice.
