Cathie Wood’s ARK Invest accumulation of Coins puts pressure on Coinbase shares
ARK Invest Kathy Wood has added 158,000 Coinbase (COIN) shares worth $5 million to her ARK Fintech Innovation Exchange-Traded Fund (ETF) (ARKF). As such, Ark Invest has significantly increased its holdings in COIN, which stood at 3.39 percent of their portfolio as of December 13, despite the exchange’s share price falling 86 percent this year.
ARK buys more COINS
ARK Invest, a fintech and investment management firm that focuses on disruptive innovation and investment solutions with long-term growth potential, appears to be accumulating COIN as the stock is under massive pressure.
According to sources close to the matter, ARK Invest is doubling down on COIN weeks after buying $3.2 million worth of shares.
2022 has been a tough year for the entire crypto universe as various heists, shenanigans and scams such as the FTX scandal have made it one of the worst seasons in Web3 history. Since hitting a new all-time high of nearly $70,000 in late 2021, the price of bitcoin (BTC) has continued to fall, losing more than 70 percent of its gain.
Altcoins and other cryptocurrency-focused businesses have not been left out. However, some observers believe that the bear market could have been fairer without bleak events such as the collapse of Terra Do Kwon and the Sam Bankman-Freed fiasco on FTX.
Coinbase, which has already delisted several tokens including Bitcoin Cash (BCH), XRP and Stellar (XLM) citing low trading activity, remains one of the hardest hit cryptocurrencies.
According to crypto.news Last month, Lebanese-American essayist, mathematical statistician, and author of The Black Swan, Nassim Taleb, called Coinbase “worthless,” pointing to the freely falling COIN valuation.
Earlier this month, Brian Armstrong, CEO of Coinbase, hinted that he expects the firm’s fiscal 2022 revenue to more than halve due to volatile market conditions that have involved several crypto funds including Three Arrows Capital and lending platforms. CeFi. how Celsius and Voyager file for bankruptcy.
It is worth noting that ARK Invest is not the only company that has maintained confidence in the cryptocurrency despite the bear market.
On December 28, reports surfaced that Michael Saylor’s MicroStrategy added another 2,500 BTC to its stash at an average price of $17,871 per token.