ARK Invest Adjusts Bitcoin ETF Holdings Following Peak Performance
ARK Invest, under the leadership of Cathie Wood, has executed a significant sale of its Bitcoin ETF (ARKB) holdings. This decision came after ARKB achieved a new all-time high, subsequent to a 3-for-1 stock split. The transaction, totaling $8.7 million, stands as ARK’s most substantial single-day sale of ARKB shares to date.
Understanding the Stock Split’s Effect
The stock split reduced ARKB’s share price to one-third of its pre-split value, while the overall market capitalization remained unaffected. On July 6, ARKB reached a peak of $39.3, which would have been $117.9 before the split.
Expanding the Strategy Beyond Bitcoin ETF
In addition to ARKB, ARK divested shares in Coinbase, Robinhood, and Block, reflecting a broader strategy to navigate the crypto market’s fluctuations.
Essential Insights
- ARK’s sale involved 225,742 ARKB shares, generating $8.7 million.
- Post-split, ARKB’s price adjusted, but its market value stayed consistent.
- ARK’s portfolio adjustments include divesting from other crypto-related equities.
