Ark Invest CEO Cathie Wood has issued a warning about a potential gold bubble, citing the metal's market capitalization relative to the U.S. money supply (M2) reaching levels not seen since 1934 and 1980. Wood argues that these historical peaks, which occurred during periods of economic stress, suggest that gold's recent rally may be unsustainable and could lead to a significant price correction. Wood highlighted that the gold-to-M2 ratio has surpassed its 1980 peak, a time when inflation and interest rates were exceptionally high. She noted that the current economic environment differs from the inflation-prone 1970s and the deflationary 1930s, suggesting that a strengthening U.S. dollar could further pressure gold prices. Wood concluded that while gold has already begun to decline, the market may face both duration and downside risks as the cycle progresses.