• Cathie Wood’s ARK Invest has added 158,000 shares of Coinbase (COIN) worth $5 million to its ARK Fintech Innovation Exchange-Traded Fund (ETF).
• The entire cryptoverse has been negatively impacted this year, with Bitcoin prices dropping more than 70% since reaching an all-time high in late 2021.
• Coinbase has been heavily impacted, delisting several tokens due to low trading activity.
Cathie Wood’s ARK Invest has taken the crypto world by storm, announcing the addition of 158,000 shares of Coinbase (COIN) worth $5 million to its ARK Fintech Innovation Exchange-Traded Fund (ETF). This is a significant increase in their COIN holdings, which comprised 3.39 percent of their portfolio as of Dec. 13, despite the exchange’s share price crashing by 86 percent this year. The entire cryptoverse has had a rough year, with Bitcoin (BTC) prices dropping more than 70 percent since reaching an all-time high of nearly $70k in late 2021. Altcoins and other crypto-focused businesses have seen a similar downward spiral, with many of them experiencing a bear market.
Dark events such as Do Kwon’s Terra collapse and Sam Bankman-Fried’s FTX debacle have only added to the woes of the crypto world. Coinbase, which has already delisted several tokens, including bitcoin cash (BCH), XRP, and stellar (XLM), citing low trading activity, has also been heavily impacted. Despite the bear pressure, ARK Invest seems to be doubling down on COIN, purchasing $3.2 million worth of the stock a few weeks ago.
Nassim Taleb, a Lebanese-American economist and author, believes that the bear market could have been fairer if not for these dark events, and that the crypto world is showing signs of a comeback. While not everyone agrees with Taleb, many are hoping that the crypto world will bounce back after the rough year it has had.
Coinbase has been a leader in the crypto world, providing a secure platform for traders to buy and sell cryptocurrencies. It has also been a major influencer in the crypto space, with its stock becoming a favorite among institutional investors. With ARK Invest doubling down on COIN, many are optimistic that Coinbase will be able to weather the bear market and come out stronger on the other side.