Ark Invest buys $13.4M in Coinbase during price drop
Ark Invest maintains a consistent strategy
Cathie Wood’s Ark Invest is expanding its holdings in Coinbase, signaling continued confidence in the long-term potential of the crypto market despite ongoing market turbulence.
The past month has been challenging for Coinbase. The exchange’s stock price has dropped by more than 25%, and its market capitalization has fallen below $30 billion for the first time since September 2024. Over the past week, Coinbase shares fell 5%, trading at $160.55 at the time of writing.
Coinbase stock price dynamics over the last 5 days. Source: Trading View
Investor confidence received a modest boost on Friday when Ark Invest purchased 83,157 shares of Coinbase across three ETFs, totaling approximately $13.4 million.
Mixed market reaction
The market reaction was mixed. While some viewed Ark’s move as a bullish signal, others expressed caution over the broader bearish trend in the crypto sector. On social media, the purchase was widely discussed as a vote of confidence.
Ark Invest maintains a consistent strategy
Ark’s decision aligns with its "buy the dip" approach, showing a consistent strategy of capitalizing on undervalued opportunities in high-growth sectors.
“Investing during downturns reflects our strong conviction in the fundamental value of innovative companies,” said Cathie Wood.
Meanwhile, experts at Coincu warn that financial and regulatory pressures may persist, potentially affecting crypto valuations. However, technological adoption remains key to long-term growth — a trend supported by strategic investments like Ark’s.
As we wrote, Cathie Wood’s ARK Invest snapped up $8.7 million of Coinbase (COIN) shares on Tuesday as the cryptocurrency market experienced a broad selloff.
