- Cathie Wood’s Ark Invest has sold more Coinbase shares worth over $50 million.
- The sale comes as Coinbase’s stock price has been on a downward trend in recent months.
- The sale of Coinbase shares may be a sign that Ark Invest is becoming less bullish on the cryptocurrency industry.
Cathie Wood’s Ark Invest has sold more Coinbase shares worth over $50 million, according to a recent filing with the Securities and Exchange Commission (SEC).
The sale comes as Coinbase’s stock price has been on a downward trend in recent months. The stock is down about 70% from its all-time high of $429.54, which it reached in November 2021.
Ark Invest first invested in Coinbase in 2020, and the company’s shares were a top holding in several of Ark’s exchange-traded funds (ETFs). However, Ark has been selling off its Coinbase shares in recent months.
In the most recent filing, Ark Invest sold 478,356 shares of Coinbase, worth about $50.4 million. This brings the total number of Coinbase shares that Ark has sold since January to over 1 million shares, worth over $100 million.
The sale of Coinbase shares may be a sign that Ark Invest is becoming less bullish on the cryptocurrency industry. However, Ark still holds a significant number of Coinbase shares, and the company has said that it remains optimistic about the long-term prospects of the cryptocurrency industry.
What does this mean for Coinbase?
The sale of Coinbase shares by Ark Invest is a negative development for the company, but it is not necessarily a sign that Coinbase is in trouble. The cryptocurrency industry is still in its early stages, and there is a lot of volatility in the market. As a result, it is not uncommon for investors to sell off their shares of cryptocurrency companies during periods of market volatility.
However, the sale of Coinbase shares by Ark Invest could put pressure on the company’s stock price. If other investors follow Ark Invest’s lead and sell off their shares of Coinbase, the company’s stock price could fall even further.
Also read: Ripple vs SEC: How the Outcome Could Impact Coinbase and Binance
What are the next steps for Coinbase?
Coinbase is facing a number of challenges in the current market environment. The company is facing increased competition from other cryptocurrency exchanges, and it is also facing regulatory scrutiny from governments around the world.
However, Coinbase is a well-established company with a strong track record. The company has over 56 million users, and it processed over $547 billion in trading volume in 2021.
Coinbase is also working to expand its product offerings. The company recently launched a new cryptocurrency lending product, and it is also planning to launch a non-custodial wallet.
If Coinbase can successfully navigate the current challenges, the company is well-positioned for long-term growth. However, the company’s stock price is likely to remain volatile in the near term.
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