Cathie Wood's Ark Invest sold off over $12 million in Coinbase and Robinhood shares, sparking discussions about the firm's future investment strategies.
Ark Invest's Share Sales
On Thursday, Ark Invest sold $6.5 million worth of Coinbase shares and $5.8 million of Robinhood stock. This occurred as both companies saw a significant surge due to Bitcoin reaching historic highs above $118,000.
Regulatory Risks and Market Volatility
According to Ark Innovation ETF (ARKK) filings, the fund reduced its positions by selling 16,627 shares of Coinbase and 58,504 shares of Robinhood. This selloff came despite both stocks gaining 4% and 4.4% respectively on the day, even as Bitcoin rose by 6.4%.
Broader Context and Institutional Investments
In the backdrop of Ark's moves, there is a surge in institutional interest in cryptocurrencies. On July 10, Bitcoin spot ETFs had inflows of $1.18 billion, the second-largest on record. However, Ark's actions amid a market boom raise questions about whether Cathie Wood anticipates short-term volatility or regulatory concerns that could impact sentiment.
Despite the robust growth in the crypto market, Ark Invest's share sales raise questions about the firm's outlook and potential economic instability that may influence investment decisions.
