Cathie Wood's Ark Invest doubles down on crypto stocks with $40M in new positions

Cathie Wood’s Ark Invest has doubled down on crypto stocks by adding more shares of Bullish, Circle Internet, and BitMine. The purchase comes amid the ongoing bearish market sentiment in the cryptocurrency arena, which has sent the stock prices of the three companies falling significantly.

U.S.-based asset management firm Ark Invest has increased its exposure in the crypto ecosystem by adding more publicly traded crypto stocks to its portfolio. The firm purchased more shares of the publicly traded Bullish cryptocurrency exchange, stablecoin issuer Circle Internet, and crypto mining firm BitMine Immersion.

Cathie Wood buys crypto stocks worth 39.6 million

Cathie Wood’s investment increased its crypto exposure by adding another $39.6 million in three digital asset companies. Ark Invest purchased an additional 463,598 shares of Peter Thiel-backed crypto exchange Bullish (BLSH), valued at $16.9 million.

The purchase follows the crypto exchange’s publication of its earnings for the third quarter on November 19. The exchange reported a net income of $18.5 million and adjusted revenue of $76.5 million for the period ended September 30. Bullish’s adjusted EBITDA rose sharply to $28.6 million from $7.7 million.

The firm also added 216,019 shares of stablecoin issuer Circle Internet Group (CRCL) worth $15.1 million and finalized the investment with a $7.6 million stake in Bitmine Immersion Technologies worth 260,651 shares.

The firm bought the stocks across three of its exchange-traded funds ETFs including Innovation (ARKK), Fintech Innovation (ARKF), and Next Generation Internet (ARKW). Ark Invest’s purchase comes as the crypto market dips, causing the stock prices of the three companies to fall as well.

Bullish, BitMine, and Circle’s last 30-day performance. Source: Google Finance.

Data from Google Finance shows the stocks have undergone immense pressure from the prevailing crypto meltdown as investors slow down on riskier assets.

Bullish is down 3.63% today, bringing its 5-day decline to 18.1%. The exchange is down 38.07% over the last 30 days and 46.49% year-to-date. BitMine Immersion Technologies Inc. has declined by 9.52% today and is down 45.76% for the month.

However, its year-to-date gains stand at a solid 274.10%. Circle’s shares have declined by 9.05% since the market opened today, bringing its monthly decline to 46.70%. The stablecoin issuer is down 16.23% year-to-date.

The digital asset ecosystem has suffered due to macroeconomic uncertainties, massive liquidations, and outflows from institutional investment products. Data from crypto data aggregator CoinMarketCap shows that Bitcoin has declined by more than 10% in the last seven days. The crypto asset is currently trading at $91,706, down 27.5% from its all-time high of $126,198.07 at the time of this publication.

Ark Invest buys more crypto stocks

Ark Invest’s moves in the crypto market are becoming more distinct. The investment firm’s recent purchase follows more purchases made in the last few weeks. A recent Cryptopolitan report dated November 13 revealed that the investment firm purchased $30.5 million in Circle for 353,328 shares.

The purchase occurred across its three ETFs, with the ARK Innovation ETF (ARKK) adding 245,830 shares and the ARK Next Generation Internet ETF (ARKW) purchasing 70,613 shares. ARK Fintech innovation ETF (ARKF) sealed the deal by buying 36,885 shares.

The purchase followed another investment from the firm in the stablecoin issuer the day after. Cryptopolitan reported on November 14 that Ark Invest added more Circle shares worth $15.6 million. The purchase involved additional positions on Bullish and BitMine. Ark Invest purchased Bullish shares worth $7.28 million and BitMine shares worth $8.86 million.