Ark Invest takes profits as Coinbase market cap tops $100 billion
Ark Invest trims Coinbase stake after record high pushes COIN past $100B
Cathie Wood’s Ark Invest offloaded 34,207 shares of Coinbase (COIN), valued at around $13.3 million, from its ARK Next Generation Internet ETF (ARKW) on Tuesday.
The move came after COIN reached a record high of $394.01 on Monday, lifting its market cap past $100 billion for the first time, reports The Block.
Despite a 1.5% pullback to $388.02 on Tuesday, Coinbase stock remains up 50% over the past month, driven by Bitcoin’s surge and Circle’s IPO buzz. COIN is now the second-largest holding in ARKW at 7.9% ($172.8M), just behind Robinhood at 8% ($175.5M). Ark’s strategy mandates that no single holding exceed 10% of a fund, prompting rebalancing after major rallies.
Ark also trims Bitcoin ETF exposure amid volatile price swings
In addition to trimming its Coinbase position, Ark sold 225,742 shares of its own spot bitcoin ETF (ARKB) worth $8.7 million from ARKW. The sale occurred shortly after Bitcoin peaked above $123,000 on Monday before retreating to below $116,000 and then stabilizing around $119,133. ARKB remains the fourth-largest allocation in the fund with a 7.2% weighting, valued at $157.2 million.
Ark’s spot bitcoin ETF has garnered $2.9 billion in cumulative net inflows and currently holds $5 billion in assets under management. While ARKB saw $6.2 million in outflows on Tuesday, BlackRock’s IBIT led the market with $416.3 million in inflows, continuing a nine-day streak totaling $4.4 billion across all Bitcoin ETFs.
Analysts remain bullish on Bitcoin despite Ark’s profit-taking
Ark’s sales come amid broad optimism in the crypto sector, with analysts predicting more room for Bitcoin to rally before hitting its cycle peak. BRN’s lead analyst Valentin Fournier noted that while Ark is trimming exposure, ETF inflows remain strong and altcoins are beginning to catch up. Bitcoin is currently up 25% year-to-date and sentiment is buoyed by speculation around macroeconomic policy shifts.
The $53.3 billion in cumulative ETF inflows since January suggests sustained institutional interest, even as some firms rebalance their portfolios. Ark’s moves appear tactical rather than bearish, aligning with its long-term strategy of maintaining diversified exposure while capitalizing on market momentum.
Recently we wrote that Cathie Wood’s ARK Invest continued to offload Circle (CRCL) shares aggressively, selling 415,844 shares worth approximately $109.6 million on June 23.
