In a recent move, ARK Invest, a leading US technology investment management firm and one of Coinbase’s major shareholders, sold a significant amount of shares of this crypto exchange.
The sale appears to be prompted by the stock’s recent strong performance. Here are the details of this strategic maneuver and the wider market context that may have influenced this move.
ARK Invest Sells $50.5 Million in Coinbase Shares
On July 14, ARK Invest, led by Cathie Wood, decided to sell an additional $50.5 million worth of Coinbase (COIN) shares, aiming to capitalize on the recent uptick in the value of this cryptocurrency exchange stock.
Within three of its funds, ARK has divested more than 480,000 shares of Coinbase (COIN). As an influential technology investment management company, ARK is the proud owner of over 10.5 million shares of Coinbase, making it one of the largest shareholders. The company bought a lot of COIN shares when the market went down and it is now reaping the rewards.
Coinbase shares hit $107 high after deals
Most recently, Coinbase’s share price hit an all-time high of $107 within a year. This increase followed the exchange’s announcement that it has entered into information-sharing agreements with five would-be issuers of Bitcoin exchange-traded funds (ETFs). This development may be the deciding factor for the Securities and Exchange Commission (SEC) to finally approve the listing of such funds in the United States.
Earlier, on July 11, ARK had for $12 million in Coinbase stock sold when the price reached its annual high of around $89. On Friday, Coinbase shares closed 1.58% lower at $105.31.
