ARK Invest Sells Portion of Coinbase Shares – Crypto Press Cryptocurrencies News Network
Cathie Wood’s investment management firm ARK Invest has sold a portion of its Coinbase shares as the stock sees significant growth in price. After three months of active buying, ARK made its first sale of Coinbase stock in 2023, accounting for 23% of all shares acquired in March and 9% of all shares purchased this year. The remaining 1.6 million Coinbase shares held by ARK are currently valued at over $132 million.
Coinbase’s stock, which trades as COIN, has been on the rise, hitting multi-month highs as of March 21. The shares reached a price level not seen since September 2022, according to data from TradingView. Despite a 54% drop in the past year, the stock has recovered more than 130% since the start of 2023.
The upward trend of Coinbase’s stock price aligns with the positive trend in the cryptocurrency market, with Bitcoin hitting multi-month highs amid the ongoing global banking crisis. On March 22, Bitcoin surpassed $28,000, reaching its highest level in nine months. This marks a significant recovery in price levels triggered by industry crises like the collapse of FTX.
ARK Invest’s recent sale comes shortly after its largest purchase of Coinbase stock in 2023. On March 9, the investment manager bought 301,437 Coinbase shares for its ARK Innovation ETF (ARKK) and 52,525 shares for the ARK Next Generation Internet ETF (ARKW). At the time of purchase, the stock was worth about $20.5 million, but has since increased to nearly $30 million in value.
ARK Invest’s decision to sell a portion of its Coinbase shares may indicate the firm is taking profits and diversifying its portfolio. It’s worth noting that ARK Invest has been a strong supporter of the cryptocurrency industry, with Cathie Wood herself being vocal about the potential for cryptocurrencies like Bitcoin to revolutionize the financial system.
Coinbase, which went public via a direct listing in April 2021, has had a turbulent year, with the company facing regulatory scrutiny and a significant drop in the price of cryptocurrencies earlier in 2022. However, the recent surge in Coinbase’s stock price, along with the positive trend in the cryptocurrency market as a whole, may signal a brighter future for the company.