Cathie Wood’s Ark Invest Sells Coinbase and Grayscale Bitcoin Trust Shares Amid Price Rises
Cathie Wood’s Ark Invest has sold a significant number of Coinbase and Grayscale Bitcoin Trust (GBTC) shares as the prices continue to rise. On Tuesday, the company offloaded 237,572 COIN ($33.3 million) and 168,127 GBTC ($5.9 million) shares. This is one of the highest daily offloads for the year. Previously, Ark sold 10,218 Coinbase shares ($1.4 million) on Monday and $15 million worth of Coinbase stock last week.
The price of Coinbase stock has been performing well, reaching $141.99 in pre-market trading. It has seen a 10% increase over the past week and a 67% increase over the past month, reaching its highest level since April 2022. However, it is still down around 60% from its all-time high in November 2021.
Narrowing Discount to NAV and Bitcoin Price Rise
Ark also sold 168,127 GBTC shares ($5.9 million) from its Next Generation Internet ETF on Tuesday. This follows the 94,624 GBTC ($2.8 million) sold on November 24 from the same fund.
The price of GBTC shares has risen by over 11% in the last week and 30% over the past month, reflecting the recent surge in the price of bitcoin.
The discount to net asset value (NAV) for GBTC has significantly narrowed in recent months, going from over 40% in the summer to less than 10% last month. Currently, GBTC’s discount to NAV sits at 10.5%, according to YCharts.
Ark Invest’s Purchase of Robinhood Shares
In addition to the sales, Ark Invest also bought a small amount of Robinhood shares. It added 9,586 HOOD shares ($100,000) to its Fintech Innovation ETF on Tuesday, following the $140,000 worth of shares purchased on Monday and $3 million worth of shares bought last week.
Hot Take: Ark Invest Continues to Adjust Crypto Holdings
Cathie Wood’s Ark Invest has made significant adjustments to its crypto holdings. The company has sold a large number of Coinbase and GBTC shares amid price rises. However, it has also purchased additional Robinhood shares. These moves reflect Ark Invest’s strategy of actively managing its portfolio based on market trends and opportunities. The narrowing discount to NAV for GBTC indicates increased investor confidence in bitcoin. Overall, these actions demonstrate Ark Invest’s commitment to adapting its holdings in the ever-changing cryptocurrency market.
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