Cathie Wood Reveals Bitcoin Correlation Coefficient Analysis, Demonstrating a Measured Investment Strategy

In early February, ARK Invest CEO Cathie Wood released an in-depth comment regarding the volatile price movements of Bitcoin. According to BlockBeats, Wood highlighted that the world’s largest digital asset has experienced a significant decline, dropping to the $60,000 level, well below its all-time high in October. Recent data shows Bitcoin is currently at $67.47K as of February 22, 2026.

Minimum Correlation Coefficient Between Bitcoin and Gold

Wood emphasized an important finding regarding the relationship between Bitcoin and gold returns since 2019. The study shows a correlation coefficient of only 0.14, indicating a very minimal correlation between the two assets. This finding is significant because it demonstrates that Bitcoin has unique diversification characteristics compared to traditional instruments like gold, offering investors an alternative store of value with different protection features.

Wood observed historical patterns where gold tends to rise before Bitcoin moves. According to Wood, this trend is likely to repeat in upcoming market cycles. This observation forms the basis for understanding broader market dynamics.

Transparency of ARK Invest Trading Activities

ARK Invest, under Wood’s leadership, consistently discloses their daily trading activities to the public. These disclosures show a gradual and measured increase in their positions related to cryptocurrencies. This incremental strategy reflects a cautious yet progressive approach to digital asset allocation within their portfolio.

Gradual Accumulation Strategy Amid Uncertainty

Wood acknowledges the uncertainty surrounding the duration of the market downturn and whether the bearish phase has truly ended. Nevertheless, she offers an intriguing strategic perspective. When market sentiment reaches extreme negativity and internal research supports the investment thesis, Wood recommends entering the market gradually through batch investing.

This approach allows investors to build positions with better risk management while taking advantage of the minimal correlation coefficient between Bitcoin and traditional assets. This moderate accumulation strategy aligns with ARK Invest’s long-term investment philosophy, especially in identifying opportunities where attractive valuations meet solid fundamentals, even when market sentiment remains depressed.