Cathie Wood’s Ark Invest Continues Crypto Buying Spree with ARKB Units Purchase

Cathie Wood’s investment management firm Ark Invest is on a buying spree for crypto-related shares including its Ark 21Shares spot Bitcoin ETF (ARKB). ARK Next Generation Internet ETF (ARKW) purchased 1.27 million ARKB units worth $51 million last week.

Cathie Wood’s Ark Invest Bought ARKB Units

Cathie Wood’s ARK Next Generation Internet ETF (ARKW) continued its purchase of Ark 21Shares spot Bitcoin ETF (ARKB) this week. However, ARKW didn’t purge ProShares Bitcoin Strategy ETF (BITO) to buy ARKB this week amid a number of earning announcements this week.

ARKW purchased 58,468 units of ARKB worth $2.5 million on January 29. ARK Innovation ETF (ARKK) and ARKW funds also purchased Tesla shares worth millions. ARKK has over $600 million worth of Tesla (TSLA) shares.

ARK Next Generation Internet ETF holds 2,480,644 ARKB shares worth $106,816,530, as per holdings data by ARK Invest. The funds also reduced its ProShares Bitcoin Strategy ETF (BITO) to 285,167 shares valued at $5.81 million. It will likely hold on to the remaining BITO holdings.

As per Ark Invest data, ARKB has 15,890 bitcoin with a market value of $684.18 million until February 2.

ARK Buying Robinhood and Tesla

Ark Invest funds ARK Innovation ETF (ARKK) and ARK Next Generation Internet ETF (ARKW) continue to accumulate Robinhood Markets (HOOD) and Tesla (TSLA) shares worth millions this week.

On Feb 2, ARKK purchased 39,572 HOOD shares and 87,721 TSLA shares. ARKW bought 8,354 HOOD shares and 27,090 TSLA shares.

TSLA price closed 0.70% lower at $187.91 on Saturday. Whereas, HOOD price closed 0.09% higher at $10.92.

Ark Invest has increased its Bitcoin allocation in 2023 to 19.4% from 6.2% in 2022, emphasizing effectiveness in diversifying and balancing traditional assets. Bitcoin has played a crucial role in maximizing risk-adjusted returns.

Coinbase and Robinhood are about to release quarterly results for the period ending December 31, 2023. Robinhood Markets to release earnings on Feb 13, with expected revenue of $452.8 million. In addition, Coinbase’s earnings is due on February 15, with expected revenue of $811.50 million.

Concurrently, Cathie Wood has thrown a bombshell on Bitcoin claiming that it could go up to $2.3 million per coin. The forecast is based on the what-if situation in which global investible assets valued at $250 trillion are matched to a 19.4% Bitcoin allocation as per the recommendations given in Ark Invest’s Big Ideas report for 2024. Although this forecast is very optimistic it reflects Wood’s confidence in value proposition of Bitcoin and its use in future investment portfolios.

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