Ark Invest offloads another $15 million worth of Coinbase shares; COIN jumps 5% pre-market
Quick Take
- Cathie Wood’s Ark Invest offloaded another 62,615 Coinbase shares on Friday — worth $15.1 million — as the investment firm continues to rebalance its fund weightings.
- Coinbase shares are currently 5% up in pre-market trading at $252.58.
Ark Invest offloaded 62,615 Coinbase shares — worth $15.1 million — across two of its exchange-traded funds on Friday.
The Cathie Wood-led investment firm sold 52,295 shares ($12.6 million) from its Innovation ETF (ARKK) and 10,320 shares ($2.5) from its Next Generation Internet ETF (ARKW), according to the company’s latest trade filing.
Added to the $6.4 million worth of Coinbase shares sold on Thursday, Ark Invest offloaded more than $21.5 million worth of the stock last week.
Ark’s investment strategy aims to let no individual holding take up more than 10% of an ETF’s portfolio to maintain diversification within its funds — meaning it is likely to continue rebalancing its weightings if Coinbase’s stock price continues to rise compared to other holdings in the funds.
According to the firm’s latest disclosures, Coinbase has dropped to the second-largest holding within its ARKK ETF with a weighting of 9.36%, behind Tesla at 9.48%. Coinbase is also the second-largest holding in ARKW, with a weighting of 9.55%, just behind Ark’s own spot Bitcoin ETF (ARKB) at 9.98% of the fund.
ARKK’s Coinbase holdings have a market value of $669 million, whereas ARKW’s COIN weightings are valued at $160 million at current prices. Overall, the ARKK and ARKW funds are up 29% and 58% over the past year, respectively.
Coinbase shares up 5% in pre-market trading
Coinbase shares are currently 5% up in pre-market trading at $252.58. COIN traded for $240.90 at market close on Friday, down 3.5% on the day and 8% for the week, according to TradingView. However, the stock remains up 39% year-to-date and is now within 30% of its prior all-time high of $342.98 set in November 2021.
RELATED INDICES
COIN/USD price chart. Image: TradingView.
Coinbase is currently valued at $44.8 billion, according to The Block’s data dashboard.
Ark Invest also sold $17 million worth of Robinhood shares on Friday as the stock and crypto trading app fell 8% for the week.
Disclaimer: The Block is an independent media outlet that delivers news, research, and data. As of November 2023, Foresight Ventures is a majority investor of The Block. Foresight Ventures invests in other companies in the crypto space. Crypto exchange Bitget is an anchor LP for Foresight Ventures. The Block continues to operate independently to deliver objective, impactful, and timely information about the crypto industry. Here are our current financial disclosures.
© 2023 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
