coinfomania.com
While several investors are scared of buying the dip given the current market instability, Cathie Wood’s ARK Invest has seized the opportunity to increase its Bitcoin exposure amid the recent market crash.
Insight into published records from ARK Investment management as reported by TheStreet today shows that the fund purchased 310,067 Grayscale Bitcoin Trust (GBTC) shares.
The shares, which were purchased through ARK’s ARKW ETF were acquired at $25 per share, with the total shares worth approximately $7.8 million, at the time of purchase.
ARK Not Deterred by Market Crisis
Although the number of shares acquired is nothing compared to Ark’s previous investment in Grayscale, the timing of the purchase suggests that the firm made the move as soon as Bitcoin dipped below $30,000.
With the latest acquisition, ARK now has a total holding of 9,155,988 Grayscale shares, thus bringing the weighting of GBTC in the ETF to just over 4.1%.
Further insight also revealed that the fund took advantage of the market dip to stock up on its Coinbase (COIN) share holdings by 71,877.
The development comes less than a month after ARK made a groundbreaking purchase of one million GBTC shares when the price of Bitcoin plummeted below $30,000. During the same period, ARK also purchased more than 200,000 Coinbase shares.
Confidence in Bitcoin
ARK’s position in crypto-related investments has continued to surge, with the fund taking advantage of the market dip crisis.
The Cathie Wood’s fund has always had a positive stance on bitcoin, reiterating that the cryptocurrency would reach a long-term price of $500,000 per BTC in the near future.
ARK currently has investments in crypto-related entities such as Tesla and Square. Although ARK’s investment in Tesla was made prior to the electric car company’s announcement of its groundbreaking $1.5 billion Bitcoin purchase, the fund has a position of over $2 billion in the Elon Musk’s headed firm.
Meanwhile, ARK is not the only firm that took advantage of yesterday’s market crash to increase its Bitcoin exposure, with Coinfomania reporting earlier today that Rothschild Investment Corp also acquired more GBTC shares, bringing its total holdings to 141,405.