Bitcoin has slipped again and the big bulls are talking. According to the ARK Invest team, the pullback after a rapid rise is part of a broader picture mixing gold, money supply measures and investor flows. The markets are now in disarray. This is not to say that long-term stories are dead.
The long view of Cathie Wood
According to reports, Cathie Wood maintained a public and consistent bet on crypto for years, purchasing assets and shares in companies linked to digital tokens when prices were much lower. His firm took early positions in exchange operators and fintech companies that provide crypto access.
The reports note ARK’s valuation work and scenarios that place Bitcoin well above current prices by 2030 under certain adoption assumptions. These forecasts are not promises. These are models with many moving parts.
It is also important to note that the correlation between Bitcoin and gold prices has been 0.14 since the start of 2020, and the price of gold has been behind the last two significant upward movements in the price of Bitcoin over the last two major cycles.
– Cathie Wood (@CathieDWood) January 31, 2026
Gold and the trade of devaluation
Reports indicate that ARK’s research director compared the market value of gold to the US money supply M2 and found numbers at a level not seen since the 1930s and around the same time as the 1980s.
This kind of extreme has historically preceded a major reversal in the price of gold. Some traders remember a 60% drop after the peak in 1980. These are facts that deserve a second look. However, they do not directly translate into a prediction for Bitcoin.
Bitcoin and gold do not always move together. According to reports, the historical correlation is low – around 0.14 since the start of 2020. This figure means that daily price movements are rarely in sync.
However, during the last major rebounds, gold’s gains were followed by a strong advance in Bitcoin. This time the sequence stopped. Precious metals soared then fell sharply, but capital did not flow into crypto as some hoped. This raises questions about who is moving money and why.
Market Movements and What to Watch Next
Bitcoin fell to $78,150 at the time of writing. The leading crypto asset has reached a level that many traders are watching closely after a flash crash last October. It is now more than 35% below the peak reached on October 6, 2025 and volatility is high.
Different roles, different clocks: ARK’s take on Bitcoin and gold
Overall, ARK’s position remains consistent. Reports show that the company still views Bitcoin as a long-term asset linked to network adoption and growth, even during sharp declines.
Gold, on the other hand, is being watched for signs of exhaustion after an extreme rally linked to money supply fears. In ARK’s view, the two assets play different roles, move at different rates and should not be judged solely by short-term price action.
Featured image from Unsplash, chart from TradingView
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