Cathie Wood, speaking at the Bitcoin Investor Week 2026 event on February 13, highlighted the current state of U.S. inflation, which has decreased to 0.8%. According to BlockBeats, Wood anticipates inflation will soon enter negative territory. She noted a shift in market dynamics, citing Pepsi's decision to reduce the prices of chips and Doritos by 15% as an indicator. Recent data shows a year-on-year increase in second-hand home prices has dropped to 0.9%, while new home prices are declining, and gasoline prices are also falling.
Wood attributes this 'benign deflation' to technology-driven innovation. The AI boom is exerting a strong deflationary effect, with AI training costs decreasing by 75% annually and inference costs dropping by 85% each year.
She further commented that the market is on the 'other side' of a bubble, with robotics, AI, blockchain, energy storage, and multiomics entering a 'golden era.' Wood expects a prosperous period for U.S. investments in the coming years.