On Wednesday, Cathie Wood-led Ark Invest made a significant move by selling over $17 million worth of Coinbase Global Inc (NASDAQ:COIN) shares. This decision came as the cryptocurrency exchange faced technical difficulties, a situation unfolding amid the soaring valuations of digital assets like Bitcoin (CRYPTO: BTC) and Ethereum (CRYPTO: ETH).
The Coinbase Trade
Ark Invest sold 86,298 Coinbase shares on Wednesday through its flagship ARK Innovation ETF (NYSE:ARKK). The transaction was valued at $17.33 million. For the day, Coinbase stock closed 0.8% higher at $200.80.
The sale came in the backdrop of the cryptocurrency trading platform’s outage on the same day. Coinbase experienced a significant disruption as Bitcoin reached new heights, touching $64,000.
Coinbase CEO Brian Armstrong acknowledged a significant increase in traffic, expressing regret for any inconvenience caused to users. Despite users encountering zero balances and transaction errors, Coinbase assured the safety of their assets and reported gradual improvements in trading by Wednesday afternoon, although some issues with logging in, transactions, and payment methods persisted due to the continued high traffic volume.
This sell-off by Ark Invest follows a pattern of reducing exposure to Coinbase, as detailed in earlier coverage, amidst a rallying Bitcoin. The apex cryptocurrency has experienced a nearly 45% surge this month which can be attributed to the upcoming supply halving event.
See Also: Why Are ARKK Investors Jumping Ship? Cathie Wood’s Poor Picks Lag Behind The Competition
Other Key Trades:
- NVIDIA Corp (NASDAQ:NVDA) saw a reduction in 1,235 shares by Ark, aligning with the firm’s strategy to adjust its portfolio amidst the tech sector’s volatility. The sale was made through ARK Genomic Revolution ETF (BATS:ARKG) and was valued at nearly $959,138.
- Investments in Unity Software Inc (NYSE:U) were increased across multiple funds, signaling a bullish stance on the gaming and software development platform.
- Veracyte Inc (NASDAQ:VCYT) and 10X Genomics Inc (NASDAQ:TXG) purchases were notable, emphasizing Ark’s continued focus on healthcare and genomic innovation.
Image made via photos on Flickr by WEF and Shutterstock
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