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    Cathie Wood’s ARK Invest Buys Bullish & Robinhood Shares As Crypto Stocks Dip

    Story Highlights
    • Cathie Wood’s ARK Invest boosts stakes in crypto firms Bullish and Robinhood

    • ARKK records its largest-ever weekly inflow of nearly $2.7B

    • Crypto stocks fall sharply, with Robinhood and Bullish both down 6%

    Cathie Wood’s ARK Invest is doubling down on crypto, using the recent market pullback as a chance to buy. 

    With fresh bets on Bullish and Robinhood, the investment firm is signaling strong confidence in digital asset-related stocks even as the sector faces sharp declines.

    ARK Invest Increases Stakes in Bullish

    Ark Invest is increasing its stake in crypto exchange Bullish (BLSH). On August 19, Ark added 356,346 shares to ARKK for $21.2 million. This follows an earlier purchase of over 2.5 million shares, worth over $170 million across three Ark ETFs when Bullish first went public. 

    The ARK Innovation ETF (ARKK) now owns about 1.17 million shares, worth around $74 million. Bullish went public recently, raising $1.1 billion. 

    Robinhood Remains a Strong Bet

    Ark Invest also boosted its stake in Robinhood (HOOD), buying 150,908 shares for about $16.2 million. Notably, its Tuesday purchase was the third day in a row the firm added to its position, after $14 million in buys on Monday and $9 million on Friday.

    Robinhood has long been a part of ARK’s portfolio. However, in 2024 the firm reduced part of its holdings to comply with SEC rules that cap how much an ETF can own in broker or adviser-related stocks.

    ARKK Sees Record Inflows

    ARKK ETF recently recorded its largest weekly inflow ever, with investors adding nearly $2.7 billion to the fund. Last month, Ark Invest announced plans for four new ETFs to limit losses in its ARK Innovation fund. Each fund runs quarterly and aims to protect against a 50% drop, while passing on gains above 5%.

    Crypto Stocks Slide

    Crypto stocks fell sharply on Tuesday as investors pulled back from tech and riskier assets. ARK is using the dip as a chance to buy more.

    • Coinbase and eToro dropped over 5% and 6%
    • Robinhood and Bullish fell more than 6%
    • Galaxy Digital tumbled 10%
    • In the crypto treasury space, Strategy fell 7%, SharpLink Gaming 8%, Bitmine Immersion 9%, and DeFi Development 13%. 
    • Stablecoin issuer Circle also lost 4.5%.

    Meanwhile, bitcoin dropped nearly 3% to just over $113,000, and Ether fell more than 5% to around $4,100. 

    ARK Invest is using the downturn as an opportunity to build long-term positions. Will the strong conviction pay off? We’ll have to wait and see.

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    FAQs

    Why is ARK Invest buying more crypto stocks?

    ARK Invest is using the recent sharp market pullback as a strategic opportunity to buy and build its long-term positions in digital asset-related companies at lower prices.

    How much of Bullish does ARK own now?

    Following its latest purchase, the ARK Innovation ETF (ARKK) now holds approximately 1.17 million shares of Bullish, which are worth around $74 million at current valuations.

    How much did crypto-related stocks fall?

    They fell sharply. Key stocks like Coinbase, Robinhood, and Bullish dropped over 5-6%, while others like Galaxy Digital tumbled 10% amid a broad tech and risk-asset selloff.

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