ARK Invest puts $9 million into Coinbase
ARK Invest buys $8.7M in Coinbase shares as crypto market tumbles.
Cathie Wood’s ARK Invest snapped up $8.7 million of Coinbase (COIN) shares on Tuesday as the cryptocurrency market experienced a broad selloff.
Amid the rout, ARK made its largest COIN purchase in dollar terms since August 5, taking advantage of declining prices, reports CoinDesk
Strategic Moves in a Volatile Market
In its Next Generation Internet ETF (ARKW), ARK Invest added 41,032 shares of Coinbase as the crypto exchange’s stock dropped nearly 6.5% on the day to $212.49. The timing coincided with a significant downturn in the overall crypto market, where Bitcoin (BTC) fell to a three‑month low below $87,000, sparking record outflows from U.S.-listed spot Bitcoin ETFs.
According to data from SoSoValue, these ETFs registered net outflows of nearly $940 million—the largest single-day redemption since trading began in January 2024.
Balancing Portfolio Adjustments
While ARK took advantage of the market dip to increase its Coinbase exposure, the firm also reduced its exposure to digital assets by selling 98,060 shares of its own spot Bitcoin ETF (ARKB) for roughly $8.6 million. This move reflects a tactical portfolio rebalancing strategy in response to market volatility and shifting investor sentiment.
ARK’s purchase of COIN shares is the firm’s largest dollar purchase since August 5, when it added 93,800 shares for $17.8 million, underscoring its confidence in Coinbase’s long-term prospects despite the current market slide.
Looking Ahead
As the cryptocurrency market continues to grapple with bearish trends and record outflows, ARK Invest’s contrasting moves—buying into Coinbase while trimming its Bitcoin ETF position—highlight the complex and dynamic nature of digital asset investing.
Market watchers will be keenly observing whether ARK’s strategy will pay off, especially if the broader market begins to recover. With such significant adjustments in high-profile funds, the coming weeks could provide important insights into the evolving landscape of crypto equities and investor sentiment.
Recently we wrote, that Tuesday proved to be a challenging day for the crypto market as Bitcoin (BTC) fell to three‑month lows below $87,000, dragging down the broader digital asset space.
