The initial signs of recovery are emerging as Ark Invest founder Cathie Wood said the liquidity pressures weighing on both AI and crypto assets in recent weeks could reverse in the coming weeks.
Wood noted on X that despite the recent downturn across AI and crypto markets, she expects a near term rebound. According to her, markets may already be pricing in this potential shift as investors look past the recent volatility.
Ark Invest has also been taking advantage of the pullback. The firm has been adding exposure to crypto linked tech stocks such as Block, Coinbase and Robinhood, while also increasing positions in assets connected to Circle and Bullish.
In the webinar attached to her post, Wood outlined why liquidity conditions may soon change, arguing that AI is not in a bubble and that while enterprise productivity gains take time, consumer adoption is accelerating rapidly. One standout data point was Palantir’s 123 percent year over year growth in its US commercial revenue.
Ark Funds reiterated this view, stating that the AI story is still in its early stages, with institutional adoption moving slowly but consumer side growth gaining momentum.
