Cathie Wood’s Ark Invest recently made headlines by purchasing millions of dollars in shares of Jack Dorsey’s payment firm Block Inc (SQ) and Coinbase (COIN), signaling a strong belief in the future of these companies and the cryptocurrency market as a whole. Wood, who is a well-known crypto bull, has reiterated her bullish $1 million Bitcoin target and has also shed light on the key differences between the ongoing Binance and Coinbase lawsuits.
According to transaction data reported by CoinGape, Wood’s Ark Invest purchased 227,365 Block Inc shares worth $15 million in hopes of a recovery in stock price. These shares were distributed among various Ark Invest funds, with the majority being bought for its ARK Innovation ETF (ARKK). Additionally, Ark Invest snapped up a staggering 419,324 Coinbase shares worth $21 million when the price dipped below $50, following the US SEC lawsuit against the company.
Wood remains highly bullish on both Coinbase and Bitcoin, drawing distinctions between the lawsuits levied against the two companies by the US SEC. She opines that the lawsuit against Coinbase is merely related to their staking service and certain cryptocurrencies that the SEC deems as securities. Moreover, Wood believes that Binance’s current regulatory challenges in the US will ultimately prove beneficial for Coinbase in the long run.
Though at first glance, this vote of confidence from a prominent figure like Wood may seem like nothing but good news for the cryptocurrency market, there are a few reasons for caution. For one, Coinbase has not been able to capitalize on the FTX fallout, with the company’s trading volume dropping in the US crypto market. Additionally, while Wood highlights the differences between the Binance and Coinbase lawsuits, regulatory hurdles experienced by these platforms could still impact investor sentiment towards the overall industry.
In conclusion, Cathie Wood’s Ark Invest has demonstrated unwavering support for the cryptocurrency market by pouring millions of dollars into Block Inc and Coinbase shares. Despite a tone of skepticism, the recent investments made by Wood’s Ark Invest are likely to garner attention and spark discussions among crypto enthusiasts. As always, potential investors must conduct comprehensive market research before making any investment decisions, keeping in mind that the opinions expressed by industry experts may not always align with their own market expectations.
Source: Coingape
