Cathie Wood’s Ark Invest offloaded $43 million in Coinbase and $1.6 million in GBTC stock during the price peak.
Ark Investment Management, led by Cathie Wood, recently sold significant shares of Coinbase (COIN) and Grayscale Bitcoin Trust (GBTC), sending both companies to new 52-week highs. The move represents a strategic shift within Ark Invest’s portfolio from cryptocurrencies to emerging sectors such as artificial intelligence (AI).
Changes in Investment Strategy
Ark Invest, led by prominent investor Cathie Wood, took a notable step in its investment portfolio, reducing its exposure to Coinbase (COIN) and Grayscale Bitcoin Trust (GBTC) stocks. This decision comes as the prices of COIN and GBTC hit new all-time highs. The company’s focus on emerging technologies such as AI marks a strategic shift in the cryptocurrency space.
COIN stock sale
On December 13, Ark Invest sold a significant amount of COIN stock, totaling 283,104 shares, valued at nearly $43 million. ARK Innovation ETF (ARKK) sold 239,237 COIN shares, and ARK Next Generation Internet ETF (ARKW) sold the remaining 45,864 shares.
Coinbase’s price surged 7.76% on Wednesday, closing at $150.46, breaking its 52-week high of $150.65. The surge follows the U.S. Federal Reserve’s decision to hold interest rates steady and hint at a potential rate cut in the near future. As the market recovered, traders continued to remain optimistic and buy the dip.
Consistent GBTC offloading
Ark Invest’s sell-off has expanded beyond COIN stocks to include Grayscale Bitcoin Trust (GBTC). December 13 ARK Next Generation Internet ETF (ARKW) sold an additional 45,864 shares of GBTC stock, for a total value of $1.6 million.
This follows significant selling on December 11, when the ARK Next Generation Internet ETF (ARKW) sold 395,945 shares of GBTC stock, equating to a $13 million sale. This continued selling by Ark Invest into GBTC coincided with a massive price surge for the asset, closing at $35.59 on Wednesday and hitting a one-year high of $36.23, marking a year-to-date rally of 334.02%.