Bitcoin and Ethereum Showing Resilience Amid Banking Crisis – Cathie Wood From Ark Invest
ARK Invest CEO Cathie Wood discusses the resilience of Bitcoin and Ethereum amid recent market crises and the continued functionality of their respective blockchain networks.
In a recent episode of In the Know, Wood expressed her confidence in these networks’ underlying technology, enabling them to continue operating seamlessly despite the high-profile collapse of Silvergate Bank and Silicon Valley Bank.
Wood highlighted the reliability of the Bitcoin and Ethereum blockchains, noting that there have been no interruptions in transactions and the network’s health is still very strong.
She also noted that the automatic margin call feature of the smart contracts has continued to function as expected in this over-collateralized system.
Furthermore, Wood believes that the recent turmoil in the traditional markets has provided a positive outlook for the future of cryptocurrencies.
The collapse of two publicly traded banks highlights the importance of decentralized and transparent systems, which Wood believes will continue supporting digital wallets’ growth. She also suggests that the failure of more centralized entities will further strengthen the proof of concept for decentralized networks.
Overall, Wood’s comments suggest that she is optimistic about the long-term prospects of cryptocurrencies, particularly Bitcoin and Ethereum. Despite the liquidity pressures that affect both traditional and crypto markets, the underlying technology of these networks has shown remarkable resilience and offers a solid alternative to traditional financial systems.
At the time of writing Bitcoin is trading around $24,500 and Ethereum – $1,680.