• Ark Invest purchased $20.5 million worth of Coinbase shares on Thursday.
• Cathie Wood’s Ark Invest is remaining bullish on Coinbase despite the stock dropping by more than 10% since the beginning of March.
• The collapse of crypto-friendly bank Silvergate and risk of prolonged interest rate increases in the US have driven down market sentiment this week.
Ark Invest Adds $20.5 Million Worth of Coinbase Shares
Ark Invest purchased 301,347 Coinbase shares on Thursday, adding to its previous purchase in February which was worth more than $30 million and another $3.2 million purchase in December. This brings the total value of shares purchased by Ark to $20.5 million.
Cathie Wood Remains Bullish on COIN Despite Drop
Despite the stock dropping by more than 10% since the beginning of March, Cathie Wood’s Ark Invest has remained bullish on Coinbase Global Inc (NASDAQ:COIN) stock with today’s price at $58.09 compared to its price two weeks ago at $64.67 . Additionally, Ark invested in Robinhood shares worth about $2.5 million which were added solely to the Ark Next Generation Internet ETF portfolio.
Crypto Market Meltdown
The current crypto market meltdown has left many investors feeling skeptical about crypto-related firms; however, Cathie Wood’s investment into Coinbase could be seen as a vote of confidence for the cryptocurrency exchange. In addition to this, recently the US government moved BTC worth over 217$million into Coinbase as well.. Unfortunately, these developments have been overshadowed by other issues such as Silicon Valley Bank selling assets and stocks to raise funds and a risk of prolonged interest rate increases in the US which has caused a decrease in market sentiment this week overall.
Silvergate Collapse
The collapse of Silvergate Bank – a crypto friendly bank – has had repercussions throughout the industry as it was one of few banks that was working with cryptocurrency companies and VCs alike who are now finding themselves without an access point for traditional banking services due to their involvement with digital assets .
Conclusion
It appears that despite current market conditions, Cathie Wood remains confident in her investments into Coinbase Global Inc (NASDAQ:COIN). Although there are risks posed due to recent events such as Silvergate’s closing or Silicon Valley Banks decision sell off assets and stocks, it seems that investors can take solace knowing that there is still some confidence being shown towards cryptocurrencies from big players such as Ark Invest and US government transfers intoCoinbase .
