Coinbase stock has reached a 52-week high, prompting ARK Invest, the investment management firm led by Bitcoin advocate Cathie Wood, to sell more of its shares in the crypto exchange. After acquiring a significant amount of Coinbase shares during the bear market, ARK Invest has decided to sell off a portion of its holdings for the second time this week. However, despite reducing its stake in Coinbase, Wood’s firm is actively investing in other companies such as Meta Platforms and Robinhood Markets.
On July 14, ARK Invest sold a total of 478,356 Coinbase shares, valued at $53 million, coinciding with the stock’s yearly high of $114.43. The transactions involved Wood’s flagship fund, ARK Innovation ETF, selling 263,247 Coinbase shares, ARK Next Generation Internet ETF selling 93,227 shares, and ARK Fintech Innovation ETF offloading 35,666 shares of the exchange.
In addition to selling Coinbase shares, Wood’s firm has been making strategic investments in other companies. In June, they initiated the purchase of Meta Platforms shares after the company announced the launch of Threads, a social media app similar to Twitter. ARK Innovation ETF acquired 69,793 Meta shares, while ARK Fintech Innovation ETF purchased 111,843 shares of Robinhood. Furthermore, ARK Next Generation Internet ETF increased its holdings with 12,559 Meta shares and 169,116 Robinhood shares.
Coinbase’s stock closed at $105.31 on Friday, with a 1.58% decline as investors secured their profits. However, during the week, the price surged by 33%, reaching a 24-hour high of $114.43, representing a year-to-date increase of 213%. The rise in Coinbase’s stock price can be attributed, in part, to a summary judgment in the United States Securities and Exchange Commission vs. Ripple lawsuit.
This is not the first time ARK Invest has sold Coinbase shares. On July 11, Wood’s ARK Innovation ETF sold 135,152 Coinbase shares worth $12 million. In March, ARK Fintech Innovation ETF also sold 160,887 Coinbase shares.
While ARK Invest is reducing its exposure to Coinbase, it is important to note that the firm is still actively investing in the cryptocurrency space. Wood’s bullish stance on Bitcoin and the crypto market as a whole remains unchanged. As Coinbase continues to perform well, it will be interesting to see how ARK Invest’s investment strategy evolves in the coming months.