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ARK Invest’s Strategic Sale of Coinbase and GBTC Shares

Strategic Sale of COIN and GBTC at ARK Invest

ARK Invest, led by Cathie Wood, recently sold 43,956 shares of Coinbase, taking advantage of an 18-month peak in the stock price at $119.7 per share. This sale is part of a series of strategic moves by the company to capitalize on fluctuations in the cryptocurrency market.

The sale by ARK Invest coincides with a surge in Coinbase shares following accusations of money laundering and sanctions violations against Binance and its former CEO, CZ, in the United States. Despite a significant increase of 220% since January 2023, Coinbase’s COIN stock remains 70% below its all-time high of $319 reached in September 2021.

According to ETF analyst Eric Balchunas, these sales do not necessarily reflect a lack of confidence from ARK, but rather a portfolio rebalancing due to the rise in value of COIN and GBTC stocks. In addition to the increase in Coinbase shares, the gap between GBTC shares and the actual price of Bitcoin has narrowed incredibly, with recent anticipation of a conversion of the fund into a Bitcoin spot ETF.

ARK Invest Shifts Focus to Robinhood and SoFI

In addition to selling Coinbase shares, ARK Invest has also reduced its stake in Grayscale’s GBTC, selling shares worth $3 million. At the same time, the company has increased its investments in cryptocurrency-related stocks such as the banking app SoFi and the investment app Robinhood, highlighting a diversified and strategic approach in the fintech and cryptocurrency sector.

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