Cathie Wood's Ark Invest Sells $6.6M Worth of Coinbase Shares While Crypto Exchange Grapples With Massive Bitcoin Drain

On Wednesday, Cathie Wood-led Ark Invest made a significant move by selling over $6 million worth of Coinbase Global Inc COIN shares, amidst a backdrop of nearly $1 billion in Bitcoin BTC/USD withdrawals that left Coinbase with its lowest reserve since 2015.

The Coinbase Trade

The firm sold 40,683 shares through ARK Innovation ETF ARKK and Ark Fintech Innovation ETF ARKF on Wednesday. The transaction was valued at $6.6 million. Coinbase shares closed 6.28% for the day at $162.41. In the after-hours trading, the shares rose 5.6% to $168.

Concerning the significant withdrawals of Bitcoin from Coinbase on the day, the exchange is now left holding 390,000 BTC, equivalent to approximately $20 billion, marking the lowest Bitcoin reserve level for Coinbase since 2015.

However, there’s no significant cause for concern as these funds are likely being transferred to establish new custodial wallets or support over-the-counter transactions, according to a prior report.

Wednesday’s share sale by Ark occurred after Coinbase’s Q4 earnings outperformed market expectations, showcasing a surprise profit that had previously bolstered investor confidence. Cathie Wood herself has remarked on Coinbase’s strategic positioning, suggesting that the company is “in the right place at the right time,” despite another recent sale of shares by her firm.

See Also: Ark Invest CEO Cathie Wood Says Bitcoin Will Continue to Draw Investors From Gold

Other Key Trades:

• SOFI Technologies Inc SOFI saw a significant buy from Ark, with 656,874 shares purchased, indicating a bullish stance on the financial services platform.
• 10X Genomics Inc TXG also received a notable investment, with Ark buying 64,418 shares, underscoring the firm’s interest in cutting-edge genomic sequencing technology.
• The investment in Unity Software Inc U shares reflects Ark’s confidence in the development platform’s growth potential in gaming and beyond.
• Archer Aviation Inc ACHR was another focus, with 243,028 shares bought, highlighting Ark’s investment in the future of air mobility.

Photo Courtesy: Ark Invest

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