Cathie Wood’s investment firm, Ark Invest, has further bolstered its commitment to the bitcoin market by purchasing an additional $21 million worth of its bitcoin-based spot ETF on Monday. This brings Ark Invest’s total investment in the Ark 21Shares Bitcoin ETF (ARKB) to approximately $64 million.
The acquisition involved 523,541 shares of ARKB through Ark Invest’s Ark Next Generation ETF (ARKW), as revealed in the daily trade notification on Monday. The total value of the purchase amounted to around $21.05 million based on the closing price of $40.21 on Monday.
Simultaneously, Ark Invest divested from the ProShares Bitcoin Strategy ETF, selling 648,091 shares valued at $12.85 million, based on the closing price of $19.39.
This latest transaction marks Ark Invest’s fourth round of share purchases in its bitcoin-based spot ETF since its launch on January 10. These moves align with Ark Invest’s ongoing shift away from the largest bitcoin futures fund.
In the past week, Ark Invest acquired 316,526 shares on January 19, valued at $13.2 million, 365,695 shares worth $14.7 million on January 18, and 365,427 shares totaling $15.8 million on January 16. These purchases amounted to approximately $43.7 million in total.
Following the recent $21 million purchase, Ark Invest now holds shares in ARKB worth $64.75 million.
Ark Invest’s strategic actions coincide with the recent SEC approval of 11 U.S. bitcoin-based spot ETFs, including the Grayscale Bitcoin Trust and the ARK 21Shares Bitcoin ETF.
Cathie Wood, a well-known advocate for bitcoin, has raised her bitcoin price forecast to $1.5 million by 2030 in a CNBC interview, reflecting a 50% increase from her earlier estimate of $1 million. Wood expressed optimism about the bull case, attributing it to the SEC’s approval of bitcoin-based spot ETFs.
Highlighting the benefits of Ark’s bitcoin-based spot ETF, Wood emphasized that ARKB provides exposure to bitcoin without the complexity associated with trading or storing the digital asset. Bitcoin is currently trading around $38,990, down nearly 20% since the launch of spot-based ETFs earlier this month.