Cathie Wood's ARK Sheds $40 Million of Its Own Bitcoin ETF Ahead of Senate Vote

Cathie Wood's Ark Invest unloaded more than $40 million of its own spot Bitcoin exchange-traded fund on Monday, part of a sweeping reduction across nearly every crypto-linked position in its actively managed portfolios as digital asset prices extended a sharp month-long rally.

The firm trimmed 1.06 million shares of the ARK 21Shares Bitcoin ETF (ARKB) through its ARK Next Generation Internet ETF (ARKW) and another 466,133 shares through the ARK Fintech Innovation ETF (ARKF), according to trade disclosures. With ARKB closing at $26.19 on Monday, the combined sale was worth roughly $40 million and represented approximately 1.5% of the respective funds' holdings.

The disposals came just ahead of Tuesday's Senate vote on the CLARITY Act, a legislative package that has kept crypto markets on edge as bipartisan consensus remains elusive. Bitcoin slipped below $77,000 early Tuesday, down 1.2% over the prior 24 hours, after climbing 23% over the past month. Retail sentiment on Stocktwits around the largest cryptocurrency had deteriorated to "extremely bearish" territory.

Broad-Based Crypto Stock Reductions

Ark's selling extended well beyond its in-house Bitcoin product. In the flagship ARK Innovation ETF (ARKK), the firm sold shares of Coinbase Global (COIN), Circle Internet Group (CRCL), Bullish (BLSH), and BitMine Immersion Technologies (BMNR). Circle accounted for the largest dollar-weighted crypto sale in ARKK, with 113,369 shares offloaded, followed by 36,628 shares of Coinbase, 153,881 shares of BitMine, and 18,280 shares of Bullish.