Ark Invest, the investment firm led by Cathie Wood, has sold some of its shares in Coinbase and Grayscale Bitcoin Trust, two of the most popular crypto-related assets, amid a rally in the cryptocurrency market.
According to the firm’s daily trading activity reports, Ark Invest sold a total of $5.8 million worth of Coinbase and Grayscale Bitcoin Trust shares on Monday, October 23, 2023. The firm sold $4.4 million worth of Coinbase shares and $1.4 million worth of Grayscale Bitcoin Trust shares across three of its exchange-traded funds (ETFs): ARK Innovation ETF, ARK Next Generation Internet ETF, and ARK Fintech Innovation ETF.
Cathie Wood and Ark Invest's trade activity from today 10/23 pic.twitter.com/3SilCpHQFG
— Ark Invest Daily (@ArkkDaily) October 24, 2023
Ark Invest Continues to Make Interesting Decisions
The sell-off came as Bitcoin, the largest cryptocurrency by market capitalization, jumped over 10% on Monday, reaching a new all-time high of $67,000. The surge was driven by renewed hopes of a spot Bitcoin ETF approval by the U.S. Securities and Exchange Commission (SEC), as well as strong institutional and retail demand.
Coinbase, the largest U.S. crypto exchange, and Grayscale Bitcoin Trust, the largest crypto asset manager, are both considered proxies for Bitcoin exposure in the stock market. However, Ark Invest seems to have reduced its exposure to these assets in favor of other opportunities.
On the same day, Ark Invest also bought $15.7 million worth of Robinhood shares, the online brokerage platform that offers commission-free trading of stocks and cryptocurrencies. Robinhood is one of Ark Invest’s top holdings, with a total value of $720 million as of Monday.
Ark Invest is known for its bullish stance on innovation and disruptive technologies, especially in the fields of fintech, biotech, and artificial intelligence. The firm has also been an avid supporter of Bitcoin and other cryptocurrencies, believing that they have the potential to transform the global financial system.
However, the firm’s recent trading activity suggests that it is also adjusting its portfolio according to the market conditions and the relative performance of different assets. It remains to be seen how Ark Invest will allocate its funds in the future as the crypto market continues to evolve.