Ark Invest, under the guidance of Cathie Wood, made significant portfolio adjustments amidst the recent surge in the cryptocurrency market. Notable moves include offloading shares of the US-based crypto exchange Coinbase and the Grayscale Bitcoin Trust while acquiring stocks of Robinhood Markets Inc.
Coinbase Shares Sold
Ark Invest executed the sale of 42,613 shares of Coinbase, a prominent US crypto exchange. These shares were part of the ARK Next Generation Internet ETF and ARK Fintech Innovation ETF. The sale transpired as the price of Bitcoin approached $35,000. The value of the Coinbase shares sold by Ark Invest amounted to approximately $3.3 million, with a closing price of $77.21 on Monday evening.
Grayscale Bitcoin Trust Shares Sold
In light of the recent rally in Bitcoin’s price, Ark Invest decided to sell 100,739 shares of the Grayscale Bitcoin Trust. This transaction occurred through the ARK Next Generation Internet ETF and was valued at $2.5 million, with a closing price of $24.70 on Monday evening. The surge in Bitcoin’s value is partially attributed to a recent court order in the Grayscale and SEC lawsuit, which directed the SEC to reconsider its rejection of the asset manager’s spot Bitcoin ETF application. Ark Invest itself is awaiting approval for its spot Bitcoin ETF application from the SEC, and experts believe that such approval is likely.
Cathie Wood’s positive stance on Grayscale Investments, a subsidiary of Barry Silbert’s Digital Currency Group, has been evident. She has cited Grayscale’s dedication to cold storage, a secure method of safeguarding Bitcoin holdings, as a key factor in her trust.
Ark Invest’s Enthusiasm for Bitcoin
Cathie Wood, a well-known Bitcoin bull, has consistently expressed optimism about the future of Bitcoin’s price. Her firm, Ark Invest, has projected a Bitcoin price of $1.48 million by the end of the decade.
Ark Invest’s Stake in Robinhood
Furthermore, Ark Invest holds a substantial position in Robinhood stock, making it the second-largest institutional holder of Robinhood shares. The firm’s stake, amounting to 4.1%, is distributed across four of its exchange-traded funds. In a recent move, Ark Invest added 259,628 shares of Robinhood Markets Inc through ARKW, with a transaction value of $2.38 million and a closing price of $9.17 on Monday evening.
These portfolio adjustments come at a time of heightened volatility and significant developments in both the cryptocurrency and stock markets. Ark Invest’s strategic moves reflect its ongoing efforts to adapt to changing market conditions and capitalize on investment opportunities.
