In hours past, Cathie Wood’s ARK Invest made a significant move in the cryptocurrency market by selling off over 270,000 shares of Coinbase (COIN). This divestment amounted to a substantial $69.5 million at the closing price of $256.62 per share on Monday, March 11.
ARK Invest’s Strategy and Coinbase’s Performance
ARK Invest operates with a strategic vision aimed at maintaining a balanced portfolio across its ETFs, with no individual holding exceeding a 10% weighting of an ETF’s value. As a result, when the value of a particular asset experiences a surge, ARK Invest engages in substantial sell-offs to rebalance its holdings. In the case of Coinbase, the cryptocurrency exchange has witnessed a remarkable increase in its share value, soaring by over 80% in the past month alone.
This surge can be primarily attributed to a nearly 50% rally in the price of bitcoin (BTC) during the same period. Despite the significant sell-off conducted by ARK Invest, Coinbase’s weighting across ARK’s three ETFs remains comfortably above the 10% threshold. This suggests the potential for further sales, especially considering BTC’s recent achievement of a new all-time high, surpassing the $72,000 mark.
Notably, this sale was spread across three of ARK’s prominent exchange-traded funds (ETFs), ranging from the Innovation ETF (ARKK), Next Generation Internet ETF (ARKW), and Fintech Innovation ETF (ARKF). This action stands out as the largest offload of Coinbase stock by ARK Invest since February 16, when a total of $151 million worth of shares were divested.
Also Read: CoinShares Acquires Valkyrie Bitcoin ETF To Strengthen US Presence
Market Response and Coinbase’s Current Performance
Following ARK Invest’s divestment actions, the market response to Coinbase’s performance has been closely watched. In pre-market trading, Coinbase is currently showing a 5.77% increase, trading at $256.62 per share. This uptick in share price reflects investor sentiment and response to ARK Invest’s recent sell-off.
Moreover, it mirrors the overall performance of the cryptocurrency market, which has been subject to volatility and fluctuations. As the cryptocurrency market continues to evolve, an in-depth analysis of the market’s reaction and its potential implications for both ARK Invest and Coinbase shareholders is essential. This ongoing evaluation is crucial for understanding the dynamics of the cryptocurrency landscape and navigating future investment strategies effectively.
Read More: Binance Unveils Key Update For XRP, WIF, FLOKI, NEAR, GRT
The post Cathie Wood’s Ark Invest sold $69M Coinbase (COIN) Share appeared first on CoinGape.
Earn more PRC tokens by sharing this post. Copy and paste the URL below and share to friends, when they click and visit Parrot Coin website you earn: https://parrotcoin.net0
PRC Comment Policy
Your comments MUST BE constructive with vivid and clear suggestion relating to the post.
Your comments MUST NOT be less than 5 words.
Do NOT in any way copy/duplicate or transmit another members comment and paste to earn. Members who indulge themselves copying and duplicating comments, their earnings would be wiped out totally as a warning and Account deactivated if the user continue the act.
Parrot Coin does not pay for exclamatory comments Such as hahaha, nice one, wow, congrats, lmao, lol, etc are strictly forbidden and disallowed. Kindly adhere to this rule.
Constructive REPLY to comments is allowed