Cathie Wood sells Coinbase for the first time in nearly a year

For the first time in nearly a year, Cathie Wood’s Ark Investment Management LLC reduced its ownership of Coinbase Global Inc. on Tuesday. Wood’s flagship Ark Innovation ETF sold 135,152 shares of the cryptocurrency exchange operator on Tuesday, the first time since July 26, according to data provided by Ark Investment Management LLC for Bloomberg. Since over 11 months prior to June, Ark, who is Coinbase’s fourth-largest shareholder, had been purchasing shares on price dips. Despite the volatility of the cryptocurrency market, which was brought on by problems like as a US regulatory crackdown on the sector, Sam Bankman-Fried’s collapse of his empire, and a wave of bankruptcies, it continued to increase its holdings.

A day after a Chicago Board Options Exchange filing increased hope that the US will approve a Bitcoin ETF, Ark reduced its holding in Coinbase, which led to a 9.8% gain in the shares. While remaining a large holder, Wood’s fund’s reducing of its holding may suggest to other investors that they may be able to take advantage of the share’s recent climb to book some profits. Even though it was being sued by the Securities and Exchange Commission, Coinbase has increased by more than 150% this year, following a larger surge in cryptocurrency-related equities. Last year, it fell by 86%. Compared to gains of 38% for the Nasdaq 100 Index and 16% for the S&P 500, Wood’s flagship fund has increased by 51% this year. In the previous year, the Ark Innovation ETF fell 67%.

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Please note that this article does not offer any instructions or suggestions regarding investment decisions. Therefore, it is essential that you carefully evaluate your financial situation and conduct thorough analysis, or seek advice from a qualified professional, before making any investment decisions.