Cathie Wood’s ARK Invest adds more Bitcoin exposure as GBTC, Coinbase stock hits new lows
Bitcoin (BTC) companies’ shares are a big “buy” for asset manager ARK Invest amid the FTX meltdown.
The latest data confirms that ARK continues to increase its holdings of both the exchange Coinbase (COIN) and Grayscale Bitcoin Trust (GBTC).
Cathie Wood buys the dip
With FTX contagion still rippling through the crypto industry, ARK’s decision to add exposure to two firms caught in the crossfire stands out.
According to figures provided by CEO Cathie Wood’s dedicated tracking resource, Cathie’s Ark, the firm added 176,945 GBTC shares on November 21.
These join a larger tranche of 273,327 shares from November 15, that purchase was completed just a week after FTX fell apart.
Since then, GBTC has come into the spotlight as its parent company Digital Currency Group (DCG) battles its own FTX issues.
Coinbase, meanwhile, is another target for ARK. Since the beginning of November, the firm has added 1.3 million COIN shares, taking its total holdings to 8.374 million — near all-time highs.
COIN shares now make up ARK’s 12th largest position.
Commenting on the FTX debacle in its latest newsletter, ARK acknowledged the potential implications for DCG company Genesis Trading, and warned that other “counterparty” entities could be next.
“That said, our conviction about decentralized and transparent public blockchains is as strong as ever,” it added, however.
“In this case and others, decentralization and transparency are essential as antidotes to the gross mismanagement associated with centralized intermediaries, not to mention fraudulent centralized intermediaries.”
BTC price hits new two-year lows
Bitcoin price action, meanwhile, continues to slow, two weeks after issues at FTX spiraled out of control.
Related: Bitcoin Price Levels to Watch as Traders Bet on Sub-$14K BTC
BTC/USD hit a new two-year low on November 21, data from Cointelegraph Markets Pro and TradingView show.
The pair fell to $15,479 on Bitstamp after the Wall Street open, recovering only slightly to around $15,750 at the time of writing.
COIN itself hit an all-time low at the same time, while equally difficult GBTC retained most of its over 40% discount versus the Bitcoin spot price despite ARK’s buy-in.
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