Ark Invest, led by Cathie Wood, made significant trades on Monday, June 10, 2024, marked by a substantial sell-off of Robinhood Markets Inc. (HOOD). The firm has continued its spree of divesting Robinhood shares despite the crypto trading platform’s recent acquisition of Bitstamp. Moreover, the HOOD stock plummeted in the pre-market trading today after Ark Invest offloaded over $7.5 million worth of shares.
Ark Invest By Cathie Wood Sells Robinhood Shares
According to the latest update, Ark offloaded a total of 323,801 shares of Robinhood, distributed across three of its funds: Ark Innovation ETF (ARKK), Ark Next Generation Internet ETF (ARKW), and Ark Fintech Innovation ETF (ARKF). This strategic divestment generated approximately $7.58 million sale proceeds.
Moreover, this sale emerged as the largest dollar-value transaction of the day for Ark. This move comes amid Ark Invest’s continued rebalancing of its portfolios, focusing on high-growth sectors such as biotechnology and technology.
While Ark reduced its exposure to Robinhood, it simultaneously increased investments in several biotech and tech companies. This reflects its bullish stance on these industries’ long-term potential. Furthermore, the latest selloff indicates that Ark Invest capitalized the spike in HOOD stock price on Monday.
Cathie Wood’s Ark Invest had earlier offloaded a massive stake in Coinbase Global, Inc. (COIN). However, the COIN stock offloading spree has come to a halt with no significant selloffs noted lately. On the contrary, the firm divested 66,200 HOOD shares on Friday, June 7, at a value of $1.46 million.
Also Read: Robinhood Joins AI Bandwagon With The Launch of Harmonic
HOOD Stock Slips In Pre-market Trading
In the aftermath of the recent selloff by Ark Invest, the Robinhood stock plunged 2.13% to $22.92 in the pre-market session on Tuesday, June 11. However, on Monday, the HOOD stock gained a whopping 5.59% and closed at $23.42. Furthermore, the Robinhood stock has been surging ever since the acquisition of Bitstamp.
The HOOD stock price has gained a whopping 11.42% since last week. The crypto platform announced a surprising $200 million deal for acquiring Bitstamp. Moreover, industry experts view this move as a strategic development for the firm with significant long-term prospects.
However, the continued divestment by Ark Invest suggests otherwise. The firm seems to have a bearish outlook for the HOOD stock in the long run as it is seen capitalizing on the short-term gains in the share price. Hence, a further dump might be noted by the Cathie Wood-led firm.
Also Read: Shiba Inu Coin: Whale Bags 600B SHIB From Robinhood Hinting Price Rally Ahead
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