Bitcoin News Today: ARK Invest Defies Crypto Slump with Bold Coinbase Bet

ARK Invest's aggressive accumulation of Coinbase shares has sent the cryptocurrency exchange's stock surging, as Cathie Wood's firm continues its strategy of "buying the dip" in the crypto market. On November 25, ARK Invest spent $3.86 million to purchase Coinbase Global Inc. (NASDAQ: COIN) shares, a move that aligns with its broader focus on AI infrastructure and digital assets amid a broader market correction according to CoinMarketCap analysis. The purchase follows a series of strategic investments in crypto-related companies, including CoreWeave Inc. and Circle Internet Group, as ARK seeks to capitalize on undervalued opportunities in the sector as reported by Bitget.

Coinbase's stock has faced turbulence in recent months, with shares dropping 30% over the past month as Bitcoin prices fell to $87,948 from a peak of $126,000 in early October according to Blockonomi. Despite this, ARK's latest purchase-bringing Coinbase to its fourth-largest holding in the Ark Innovation ETF (ARKK) with a $391 million stake-signals confidence in the exchange's long-term potential. The firm's rationale is rooted in Coinbase's dual role as a retail trading hub and institutional infrastructure provider, a position it has maintained through market cycles as detailed in CoinDesk analysis.

The broader crypto market has been under pressure due to thin liquidity and macroeconomic uncertainty, but ARK's approach contrasts with recent bearish trends. Wood, who reduced her Bitcoin price forecast to $1.2 million by 2030 from a prior $1.5 million target, emphasized in a podcast that the current AI sector boom differs fundamentally from the 2000 tech bubble. "This isn't about dreams-it's about ready-to-deploy technologies," she argued, citing advancements in AI hardware and stablecoin adoption. This perspective underpins ARK's recent purchases of companies like CoreWeave, which recently acquired Core Scientific to bolster its AI data center capacity, and Circle, a stablecoin leader as reported by Bitget.

While Coinbase's Q2 2025 results disappointed investors-posting $1.5 billion in revenue, below estimates-ARK's buying spree suggests it sees value in the firm's resilience. The exchange reported a 39% drop in transaction revenue year-over-year but maintained adjusted EBITDA of $512 million, demonstrating its ability to scale amid volatility as reported in CoinDesk. ARK's stake in Coinbase now accounts for 5.22% of the ARKK portfolio, reflecting its view that the company is well-positioned to benefit from the growing demand for institutional-grade crypto services according to CoinMarketCap analysis.

Analysts remain divided on Coinbase's valuation. Argus Capital recently downgraded the stock to Hold from Buy, citing a 39 times 2026 earnings multiple that exceeds traditional exchanges like ICE and Nasdaq according to Investing.com. However, ARK's continued accumulation implies a belief that Coinbase's strategic moves-such as its planned acquisition of Deribit and expansion into tokenized equity trading-will drive long-term growth. The firm's confidence is further bolstered by Coinbase's inclusion in the S&P 500 in May 2025, a milestone that underscored its mainstream acceptance as reported in Investing.com.

As the crypto market stabilizes, ARK's bets on Coinbase and other digital asset firms could prove pivotal. With Bitcoin showing signs of a potential rebound and AI infrastructure demand surging, Wood's strategy of deploying capital during market weakness may pay off in the coming months. For now, the firm's actions reaffirm its commitment to the crypto sector, even as broader markets remain cautious.