Asset management firm Ark Invest founded by Cathie Wood has offloaded holdings in ProShares Bitcoin Strategy ETF (BITO). The move comes as Ark Invest looks to increase its holdings in the Ark 21Shares Spot Bitcoin ETF (ARKB) from funds earlier parked in the ProShares Bitcoin Strategy ETF, strategically readjusting in response to evolving market conditions.
On January 16, Cathie Wood’s Ark Invest sold 757,664 shares of ProShares Bitcoin Strategy ETF (BITO) valued at approximately $15.8 million to purchase 365,427 Ark 21Shares Bitcoin ETF (ARKB) worth $15.8 million.
Cathie Wood reduced units of ProShares Bitcoin Strategy ETF through ARK Next Generation Internet ETF as part of the strategy to increase holdings in Ark 21Shares spot Bitcoin ETF. She recently targeted $4 billion in its own Ark21Shares Bitcoin ETF (ARKB).
BITO price closed on Tuesday at $20.91, down 0.71%. Whereas, Ark 21Shares Bitcoin ETF (ARBK) price also closed 0.80% lower at $43.51.
Before the spot Bitcoin approval, ARK Next Generation Internet ETF (ARKW) purchased 20,000 shares of the ARK 21Shares Active Bitcoin Futures Strategy ETF (ARKA). ARKW also bought 4.32 million shares of ProShares Bitcoin Strategy ETF (BITO) by completely offloading its holdings in Grayscale Bitcoin Trust (GBTC). Bloomberg Intelligence analyst Eric Balchunas said the move is probably a “temporary parking spot.” Ark Invest and institutions use highly liquidity ETFs for transitions similarly.
Read More: Elon Musk’s X Faces Legal Blow As Court Rejects Appeal To Access Trump’s DMs
ARKW still has enough shares of ProShares Bitcoin Strategy ETF to meet its target for its spot Bitcoin ETF. The crypto market conditions have worsened after the spot Bitcoin ETFs started to trade on Wall Street on January 11.
Cathie Wood’s Ark Invest funds are also offloading massive holdings in Coinbase (COIN) to buy other shares, including Tesla (TSLA).
Cathie Wood has reiterated her bullish case for BTC price hitting $1.5 million in 2030. Other experts also beleive BTC price surpassing $100K after Bitcoin halving in April.
Also Read:
The U.S. Securities and Exchange Commission (SEC) Chair, Paul Atkins, has revealed areas that the…
Senator Elizabeth Warren, a ranking member on the Senate Banking Committee, has raised concerns about…
The U.S. jobs report has come in stronger than expectations, signaling that the labor market…
Bitcoin (BTC), Ethereum (ETH), XRP, and Solana (SOL) are falling as the U.S. Navy and…
The latest CLARITY Act update shows major progress for US crypto regulations. The Senate Banking…
Coinbase's first quarter financials were not as good as expected as digital asset prices fell…