Originally published on: August 01, 2024
ARK Invest, a prominent issuer of spot Bitcoin exchange-traded funds in the US, is capitalizing on the recent price action as Bitcoin falls short of retesting the $70,000 mark.
Cathie Wood’s investment firm, ARK Invest, has decided to offload its Coinbase (COIN) shares, with the ARK Next Generation Internet ETF (ARKW) selling off 12,077 COIN shares on July 31. This move, worth $2.7 million at the time of sale, indicates a strategic shift in ARK’s investment strategy.
This recent sale follows a previous sale of 16,758 COIN shares by ARKW on July 19. These transactions suggest ARK’s cautious approach to managing its Coinbase holdings, as the company has only recently started selling significant amounts of COIN shares.
Prior to these sales, ARK had been relatively conservative in selling its Coinbase stock, with smaller transactions taking place. However, the recent market dynamics and Bitcoin’s failure to reach $70,000 seem to have prompted ARK to adjust its position.
The relationship between Coinbase and Bitcoin prices has been closely intertwined, with both assets experiencing similar gains over the past year. Despite this correlation, ARK’s decision to sell its Coinbase shares indicates a strategic move based on market conditions.
As Bitcoin struggles to surpass $70,000, ARK’s recent divestment from Coinbase suggests a reevaluation of its portfolio in light of changing market dynamics. This strategic move by Cathie Wood’s ARK Invest highlights the importance of adaptability in navigating the volatile cryptocurrency market.
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