Ark Invest has sold 74,291 Coinbase shares, valued at $20.8 million, across three exchange-traded funds, per their latest trade filing on Monday.
This sale comes following the firm’s sale of over $100 million worth of Coinbase shares last week when the price of COIN reached new yearly highs.
Ark Invest has sold shares from its ETFs: 57,652 from Innovation ETF (ARKK) worth $16.1M, 12,544 from Next Generation Internet ETF (ARKW) worth $3.5M, and 4,095 from Fintech Innovation ETF (ARKF) worth $1.2M.
Ark aims to keep any single holding below 10% of an ETF’s portfolio for diversification, meaning it might keep rebalancing funds if Coinbase’s stock rises.
Coinbase is currently the largest holding in ARKK, ARKW, and ARKF ETFs, weighing 10.6%, 10.9%, and 12.7%, respectively. The market value of ARKK’s Coinbase holdings stands at $826.6 million, with ARKW and ARKF’s Coinbase investments valued at $188.9 million and $147.9 million. Over the past year, ARKK, ARKW, and ARKF have seen gains of 29.5%, 58.2%, and 59.5%, respectively.
Meanwhile, Ark Invest sold $7.9 million of Jack Dorsey’s Block shares and $31.5 million of Robinhood (HOOD) stock on Monday.
Additionally, on Friday, the firm unloaded $5.76 million of HOOD stock, including 229,586 Robinhood shares worth $4.20 million from ARKK, 50,711 HOOD shares worth over $928,000 from ARKW, and 34,492 Robinhood shares valued at over $631,000 from ARKF.
On Monday, Coinbase stock closed at $279.71, marking a nearly 10% increase for the day and a 25% rise over the past week. Year-to-date, COIN has surged by 62%, according to TradingView data. Despite this performance, Coinbase shares are trading just 18% below their all-time high of $342.98 in November 2021.
Coinbase’s recent rally occurred amid a broader downturn in U.S. stocks on Monday. The company’s shares have largely mirrored those of the cryptocurrency market, with its surge coinciding with Bitcoin’s rise above the $70,000 threshold.
As of the time of writing, Bitcoin is trading at $70,500, reflecting a 5% increase over the last 24 hours and a 12% rise in the past week.
Meanwhile, the sell-off aligns with Cathie Wood’s pessimistic short-term outlook on crypto stocks. As a result, the firm has divested from Robinhood and Coinbase stocks. However, Ark Invest is reportedly considering an investment in the upcoming Reddit IPO.