TLDR
- ARK Invest spent $1.3 million on Coinbase shares, $8.7 million on Circle stock, and $6 million on BitMine during February 3 market dip
- Wood’s firm purchased 135,131 ARK Bitcoin ETF shares and 125,218 Bullish exchange shares as prices declined
- Bitcoin crashed below $70,000 on February 5, falling 7.8% in 24 hours to reach $67,753 lowest since November 2024
- Coinbase now makes up 5.55% of ARK’s blockchain ETF portfolio as the third largest position
- Market liquidations surpassed $750 million with crypto sentiment hitting extreme fear levels
Cathie Wood purchased crypto stocks during this week’s market crash. ARK Invest added millions of dollars in digital asset companies to its funds. The buying happened as Bitcoin experienced its worst decline in months.
On February 3, ARK Invest bought shares in several cryptocurrency firms. The purchases covered Coinbase, Circle, BitMine Immersion Technologies, and Bullish exchange. The firm invested $1.3 million in 3,510 Coinbase shares.
ARK spent $8.7 million on Circle stock across two different funds. The ARKK fund acquired 34,342 shares while ARKF purchased 8,536 shares. Circle manages the USDC stablecoin platform.
Wood’s investment firm bought $6 million worth of BitMine through 145,488 shares. BitMine operates Bitcoin mining but stores Ethereum in its treasury. The company has Tom Lee as its chairman.
ARK added 125,218 Bullish shares worth $3.5 million to its holdings. Bullish operates a regulated cryptocurrency exchange with Block.one backing. Peter Thiel invested in the platform through Thiel Capital during early rounds.
The firm purchased 135,131 shares of the ARK 21Shares Bitcoin ETF. This investment totaled $3.4 million in value. The ETF gives investors direct Bitcoin price exposure.
Wood Expands Positions on February 4
ARK continued purchasing stocks the following day. The ARK Innovation ETF bought 83,094 Bullish shares. The fund also added 14,868 Circle shares to its portfolio.
Coinbase accounts for 5.55% of the ARK Blockchain & Fintech Innovation ETF. This position ranks third in the fund. Robinhood holds 4.08% of the portfolio.
Circle takes up 3.34% of the blockchain fund holdings. Bullish represents 2.19% while BitMine holds 2.10%. These positions are smaller in the ARK Innovation ETF.
Bitcoin Drops to Three-Month Low
These stock purchases occurred during a major crypto selloff. Bitcoin dropped under $70,000 on February 5. The cryptocurrency fell 7.8% within 24 hours.
Bitcoin was trading at $67,753.29 at reporting time. This crash represents the worst decline since early November 2024. Total crypto market value dropped to $2.59 trillion.
Market sentiment reached extreme fear levels according to tracking tools. Total liquidations hit $750 million across crypto trading positions. Bitcoin briefly dropped below $73,000 before stabilizing.
Coinbase shares fell 4.36% to close at $179.66. Circle stock declined 4.59% to finish at $56.16. BitMine shares dropped 1.97% to $22.35.
Robinhood stock has fallen 40% from its 52-week peak. Technical indicators put the stock in oversold range. ARK purchased roughly $32.7 million in Robinhood shares total.
Bullish shares dropped 3.93% to $27.64. The ARK Bitcoin ETF declined 1.97% to $25.36. Crypto stocks fell throughout the week.
Tight U.S. liquidity pushed pressure on risky assets. Investors absorbed losses from ETF holdings and declining confidence. The selloff spread across crypto stocks as Bitcoin fell under $80,000 during the week.
In the ARK Innovation ETF, Coinbase holds the fifth largest position at 4.29%. Robinhood accounts for 3.85% of the fund. Circle represents 2.41% while BitMine holds 2.03% and Bullish takes 1.52%.
