Cathie Wood’s Ark Invest Sells $43.8 Million in Coinbase Shares as Stock Nears All-Time High

Cathie Wood’s Ark Invest has reduced its investment in Coinbase Global Inc. by selling $43.8 million worth of shares across three of its flagship exchange-traded funds. This move comes as Coinbase’s stock price approaches its all-time high.

The sale involved a total of 124,892 Coinbase shares, with the ARK Innovation ETF (ARKK) selling 77,956 shares, the ARK Next Generation Internet ETF (ARKW) selling 29,802 shares, and the ARK Fintech Innovation ETF (ARKF) offloading 17,134 shares.

Coinbase’s stock closed slightly lower by 0.83% at $350.49 on Monday. Despite this minor decline, the stock has seen a significant increase of 42.12% over the past month and is up 41.16% year-to-date. This surge is attributed to improving market sentiment and a positive outlook from investors.

Last week, Coinbase reached its highest daily close since its public listing in April 2021, closing at $375.07 on June 26. This rally has been partly driven by Circle’s entry into the public markets, which has boosted confidence in crypto infrastructure companies.

Analysts have taken note of the bullish momentum surrounding Coinbase. A leading research and brokerage firm recently raised its price target for Coinbase to $510, up from $310. This upgrade is based on improved earnings projections, new growth opportunities, and a refreshed valuation model.

This optimism is supported by Coinbase’s continued benefits from rising crypto adoption and an expanding suite of institutional services, which diversify its revenue streams beyond retail trading.

Ark Invest’s sale of Coinbase shares is part of its strategy to actively rebalance its portfolios and lock in profits when positions are high. Cathie Wood’s funds frequently adjust their Coinbase stake to manage risk and rotate capital into other innovation-focused investments, ensuring the funds remain agile as market conditions change.

With Coinbase’s stock trading near its all-time high and analysts raising their price targets, investors will be closely monitoring whether Coinbase can maintain its momentum or if profit-taking will lead to near-term volatility.