This week, concerns over artificial intelligence companies surged amid headlines suggesting a need for government support. As this report was prepared, Trump’s AI official stated there would be no federal bailout for AI, while Trump simultaneously advocated ending the filibuster. These developments have raised questions about why Ark Invest CEO Cathie Wood adjusted her Bitcoin target.
Wood Lowers Bitcoin Price Target
Cathie Wood, the CEO of Ark Invest renowned for her support of cryptocurrencies, has adjusted her long-term Bitcoin price target. Despite being a major proponent of the cryptocurrency even during bear markets, she lowered her 2030 forecast from $1.5 million to $1.2 million. Wood emphasized in an interview that the rapid growth of stablecoins has begun to encroach on Bitcoin’s intended role in the market.
Speaking on the Squawk Box program, Wood noted, “Stablecoins have taken on part of the role we expected Bitcoin to play, potentially reducing our bullish scenario by about $300,000.” She added that Bitcoin exceeds gold in several ways, asserting it could someday match half of gold’s market value.
Trump’s Filibuster Declaration
Discussions on the filibuster have been extensive this week. This political maneuver, involving lengthy debates to delay legislative decisions, is under scrutiny. Trump advocates for a simple majority of 51 votes to pass laws, aiming to implement his agenda in the final three years of his term. However, some Republicans oppose this, fearing negative repercussions if Democrats regain control in future presidencies.
Following significant losses in key municipal elections, Trump attributed the decline in votes to the shutdown, blaming Democrats. He rallied Republicans, stressing the urgency of ending the filibuster to usher in favorable changes.
Trump expressed on his Truth Social account, “Democrats, when they seize ‘control,’ will end the filibuster in the FIRST HOUR. Republicans must act NOW to experience the greatest three years in history!”
In parallel, Trump’s AI advisor addressed recent discussions on offering financial support to AI companies, categorically denying any plans for a federal rescue package.