Key facts
- ARK Invest sold over $61 million in crypto-related assets on Monday.
- The firm sold shares of Coinbase, Circle, Bullish, and its own ARK 21Shares Bitcoin ETF.
- Fidelity's FBTC saw the largest outflows among Bitcoin ETFs on Tuesday, shedding $214.8 million.
- BlackRock iShares Bitcoin Trust lost $161.7 million on Tuesday.
- Bitcoin fell 2.5% over the last 24 hours at the time of writing.
Cathie Wood's ARK Invest significantly reduced its crypto-related holdings on Monday, selling over $61 million worth of shares in Coinbase, Circle, Bullish, and its own ARK 21Shares Bitcoin ETF. These transactions occurred just before the Senate failed to advance the CLARITY Act, a piece of legislation that had previously boosted sentiment in the crypto space.
Specifically, ARK Innovation ETF divested 36,628 Coinbase shares, valued at over $7 million based on the stock's closing price of $191.45 on Monday. The firm also sold 18,280 Bullish shares, worth approximately $687,693 at its closing price of $37.62. A substantial sale of 142,350 Circle shares across two ARK ETFs, ARK Innovation ETF and ARK Next Generation Internet ETF, amounted to about $13.86 million. Furthermore, ARK Invest cut its stake in the ARK 21Shares Bitcoin ETF (ARKB), selling nearly 1.53 million shares from its ARKW and ARKF ETFs, valued at over $40 million based on ARKB's closing price of $26.19.
The sales by ARK Invest preceded a broader crypto market sell-off on Tuesday, where spot Bitcoin ETFs recorded their largest day of outflows since late June, with a net $450.4 million withdrawn. Fidelity's FBTC saw the biggest outflows, shedding $214.8 million, followed by $161.7 million from the BlackRock iShares Bitcoin Trust. Bitcoin was trading at $75,700, down 2.5% over the last 24 hours at the time of writing. Coinbase's stock dropped over 10% on Tuesday, Circle's stock tumbled 11.5%, and Bullish declined 5%. The crypto market had experienced a rally on Monday, partly in response to positive updates regarding the Clarity Act, but this momentum was halted when the bill did not advance in the Senate.