ARK Invest Offloads Additional $20.6 Million Worth of Coinbase Shares

ARK Invest Sells $20.6 Million in Coinbase Shares

ARK Invest, the investment firm led by Cathie Wood, has sold an additional $20.6 million worth of Coinbase (COIN) shares across three of its exchange-traded funds (ETFs). The sales took place on January 5 and included shares from the Innovation ETF, Next Generation Internet ETF, and Fintech Innovation ETF.

Continuation of Portfolio Balance Strategy

These sales are part of ARK Invest’s ongoing strategy to maintain balance in its portfolio and prevent any single stock from exceeding 10% of an ETF’s total value. In December, the firm sold $200 million worth of Coinbase shares after a significant price surge.

Holding Adjustments Across ARK’s ETFs

The majority of ARK’s investment in Coinbase is held in the ARKK fund, which still holds over $850 million in COIN. The recent sales reduced ARKK’s holding to 10.04%. The ARKW and ARKF ETFs also have holdings in Coinbase, with weightings slightly higher at 10.37% and 13.41%, respectively.

Coinbase Stock Performance

Despite a 1% decrease in its share price at market close on Friday, Coinbase has experienced a remarkable 350% increase over the past year. However, it remains 55% below its all-time high recorded during the peak of the crypto bull market in November 2021.

Hot Take: ARK Invest Continues to Adjust Holdings in Coinbase Shares

ARK Invest has sold an additional $20.6 million in Coinbase shares as part of its portfolio balance strategy. This move follows previous sales totaling $50 million and aims to prevent any single stock from exceeding 10% of an ETF’s total value. The majority of ARK’s investment in Coinbase is held in the ARKK fund, which still maintains a significant holding in COIN. Despite a slight decrease in share price, Coinbase has seen impressive growth over the past year but remains below its all-time high.