Ethereum News Today: Ark's Bullish Bet Defies Crypto Market Slide

Ark Invest, the investment firm led by Cathie Wood, added nearly $40 million in crypto-related equities on Monday, marking its second day of significant purchases amid a broader sell-off in the digital asset sector. The firm allocated $10.2 million across three of its exchange-traded funds (ETFs) to acquire shares of Bullish, a crypto exchange backed by Peter Thiel. The ARK Innovation ETF (ARKK) purchased 191,195 shares, the ARK Next Generation Internet ETF (ARKW) bought 56,660 shares, and the ARK Fintech Innovation ETF (ARKF) added 29,208 shares, according to the firm's trading report.

Bullish's stock closed down 4.5% at $36.75 on Monday, continuing a downward trend despite Ark's aggressive buying. The exchange, which recently launched U.S. spot trading after securing a New York license, reported $57 million in adjusted revenue for the second quarter-a 10% decline from the prior year-but turned a net profit of $108.3 million compared to a $116.4 million loss in Q2 2024. Bullish is set to release its third-quarter earnings on Nov. 19, with analysts forecasting revenue of $71.25 million.

Ark's crypto exposure has expanded this year, with additional purchases of $7.28 million in Bullish, $15.56 million in Circle, and $8.86 million in BitMine in recent weeks according to reports. The firm's strategy appears to prioritize companies navigating regulatory milestones and demonstrating financial resilience. Bullish's recent regulatory progress -obtaining a New York license-has positioned it as a key player in the U.S. market, having surpassed $1.5 trillion in cumulative trading volume since late 2021.

The broader crypto market remains under pressure, with Bitcoin dipping below $90,000, a six-month low, and Ethereum (ETH) trading near $3,000. BitMine Immersion Technologies, another Ethereum-focused treasury firm, added 54,156 ETH last week, pushing its holdings to 3.56 million tokens. However, the firm faces over $4 billion in unrealized losses as ETH declines continue. Meanwhile, Ark's recent trades contrast with its divestment of Tesla and AMD shares, reflecting a strategic shift toward crypto and fintech.

Retail sentiment on platforms like Stocktwits has turned "extremely bullish" for Bullish, with traders speculating that Ark's purchases signal insider confidence ahead of earnings. Analysts remain divided on the crypto market's trajectory, with some, like BitMine's Tom Lee, predicting a long-term "supercycle" for Ethereum despite short-term volatility.