Finance

ARK purchased $3.2 million shares in Coinbase…While its share value goes down by 83%.

12/16/2022
Bitcoin Ethereum News
  • Cathie Wood’s ARK investment purchased 78,982 shares last week in Coinbase. 
  • ‘ARKK,’ its ETF and tech arm, now holds 5.8 million COIN shares.
  • Wood says BTC will touch the $1 million mark by 2030, a 6,000% growth from current levels.

ARK Invest Management LLC is an investment management firm based in St. Petersburg, Florida. It is showing its faith in the publicly listed crypto exchange Coinbase, as it added yet another $3.2 million in Coinbase shares to its portfolio. 

After this, ARK now holds 5.8 million COIN shares, with a total value of around $235,481,582. They also have $228 million in ARK Innovation (ARKK) investment firm’s flagship Exchange-Traded Funds (ETFs). This positive news comes after two other recent buys. Although COIN hit an all-time low, these funds increased their holdings.

Wood says that the companies in ARKK are

“Sacrificing short-term profitability for exponential and highly profitable long-term growth.”

2022 has not been a great year for cryptocurrency, thanks to the crypto winter and major events in the market like the Terra ecosystem collapse, and the FTX debacle, among others that dragged prices further down. From the start of the year, ARKK is down by 64%, bitcoin is down by 61%, and COIN tops the list at 84% down. 

On Peter McCormack’s podcast “What Bitcoin Did.” Wood, who strongly supports BTC and is considered a loyal BTC bull, says that she holds around $7 million of the world’s dearest digital asset. 

In late November, she spoke with Bloomberg after the FTX collapse, saying that she still thinks that Bitcoin will hit $100 K by 2030. She added that If BTC achieves this feat, it must surge by approximately 6,000% from its current levels, which is a near-to-impossible task. 

“Sometimes you need a battle test, you need to go through crises to see the survivors.” – Wood.

She was referring to the recent events in the crypto industry, where everyone, including investors, exchanges, entities, and protocols, are fighting an uphill battle. Nature’s law – survival of the fittest – dictates that these events will take out the weaklings, and only the stronger ones shall endure. 

“We think bitcoin is coming out of this smelling like a rose.”

Although some speculate that buying a such a large number of shares, especially during such hard times, might not be good for both companies, it is very early to make any assumptions as the market is correcting itself after a nosedive in 2022.

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Source: https://www.thecoinrepublic.com/2022/12/16/ark-purchased-3-2-million-shares-in-coinbasewhile-its-share-value-goes-down-by-83/