Cathy Wood hints at the possibility of Bitcoin reaching $1.5 million—why institutional investors' asset allocation strategies are changing

Cathy Wood, CEO of ARK Invest, has expressed a noteworthy perspective. Even amid a temporary market correction phase, the expansion of institutional investment into digital assets is accelerating, making the possibility of Bitcoin reaching $1.5 million more realistic within this trend.

**Background on why institutional money is turning to digital assets**

According to Cathy Wood's analysis, many large institutional investors are increasingly interested in Bitcoin. The reason lies in the fact that Bitcoin's return characteristics and risk profile are fundamentally different from traditional assets. It has low correlation with existing portfolio assets such as stocks and bonds, and can contribute to improving the overall balance of a portfolio. From the perspective of institutional investors, this has created a logical basis for including Bitcoin in their asset allocation.

**Basis for the price increase scenario**

The $1.5 million price level is considered a reasonable outlook assuming that the asset allocation behavior of institutional investors continues, rather than being a speculative guess. In the current market environment, macro trends such as inflows of institutional funds are more likely to influence price formation than short-term volatility.