Asset Management firm Ark Invest has recently offloaded some Coinbase Global Inc. holdings. The holdings amount to 166,1832 shares, and the value of these shares amount to roughly $25.3 million. The decision was taken under the leadership of Cathie Wood.
The selling or disposing of these shares included Ark Innovation ETF(ARKK) and ARK Next Generation Internet ETF(ARKW), with ARKK selling 145,048 Coinbase shares and ARKW selling 21,135 shares on January 3, 2024.
The recent move by Ark follows a large-scale divestment of over $200 million in Coinbase shares, which is a significant indication of the firm’s plan to shift its investment priorities elsewhere after moving away from the crypto exchange.
However, Coinbase is not showing any signs of economic weakness, even after ARK is currently adopting a policy of offloading its Coinbase shares. The cryptocurrency exchange has shown a resilient performance on the stock market in the previous year and witnessed a remarkable surge of 300% in 2023.
However, one piece of information that has caught the eyes of analysts is that Coinbase stock experienced a 2.96% decline, closing at $152,24 at the time of writing this article.
On January 2, 2024, ARK executed another round of strategic sales, shedding 3,360 Coinbase shares and 23,606 shares of Robinhood Markets Inc., totalling over $880,000 in value.
ARK Invest also liquidated 2.25 million shares of the Grayscale Bitcoin Trust (GBTC) last week, amounting to approximately $81 million.
Redirecting these funds, ARK strategically invested in the ARK 21Shares Active Bitcoin Futures Strategy ETF (ARKA) and the ProShares Bitcoin Strategy ETF (BITO).
This reallocation indicates ARK Invest’s preparation for the potential approval of its spot Bitcoin ETF. Along with the other ten applicants for the Spot Bitcoin ETF approval from the SEC, ARK Invest is also looking closely at the 10th January deadline given by the SEC, where it is expected to announce the acceptance or rejection of ARK’s spot Bitcoin ETF application.
