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Crypto Takes a Hit, ARK Invests: Major Wagers on Key Industry Leaders

Crypto Takes a Hit, ARK Invests: Major Wagers on Key Industry Leaders

Bitget-RWA2025/11/19 18:04
By:Bitget-RWA

- ARK Invest heavily buys crypto-linked stocks like Coinbase , Circle , and Bullish amid market declines, signaling sector resilience bets. - Purchases occur as Bitcoin drops below $90,000 and regulatory uncertainties persist, with ARK's "buy the dip" strategy targeting foundational crypto players. - Analysts highlight Circle's stablecoin leadership and Bullish's growth potential, despite post-earnings stock declines and broader crypto volatility. - Institutional moves like Canary Capital's XRP ETF and Kra

Cathie Wood's

Invest has ramped up its investments in crypto-focused stocks, acquiring notable positions in , Internet Group, and Bullish during a period of overall market weakness. The company's (ARKK) and (ARKF) bought $3 million worth of shares and $3.1 million in Circle shares on Tuesday, with also picking up $1.1 million in Bullish, . These latest acquisitions follow a string of recent buys, including $10.2 million in Bullish shares on Monday and last week’s purchases of $7.28 million in Bullish, $15.56 million in Circle, and $8.86 million in BitMine .

These transactions took place while Coinbase and Circle shares saw little movement, with Coinbase ending the day down 0.82% at $261.79 and Circle edging up 0.013% to $76.60

. At the same time, Bullish, which is backed by billionaire Peter Thiel, is preparing to announce its third-quarter earnings, with analysts forecasting $72.39 million in revenue—a 26% jump from the previous quarter . Despite improvements in adjusted revenue and net income, Bullish shares dropped more than 5% after its Q3 results, trading below the price set at its August IPO .

ARK’s growing holdings in crypto-related stocks reflect larger trends in the market. For example, Circle posted $740 million in revenue and $214 million in net income for Q3—up 66% and 202% year-over-year, respectively—while also expanding its Arc blockchain platform

. Analysts at William Blair and Bernstein have raised their outlook on the stock to “Outperform,” highlighting Circle’s leading position in stablecoin infrastructure . Likewise, ARK’s $30.5 million single-session purchase of Circle shares demonstrated its strong belief in the company’s long-term prospects, even after a 12% drop in the stock following earnings .

Crypto Takes a Hit, ARK Invests: Major Wagers on Key Industry Leaders image 0
These renewed investments in crypto come at a time of tough macroeconomic conditions. and have both seen sharp declines, with Bitcoin falling below $90,000—a seven-month low—while the broader crypto market faces regulatory headwinds and speculation about Federal Reserve rate cuts . ARK’s approach of “buying the dip” shows its confidence in the sector’s ability to recover, as evidenced by its $5.8 million investment in BitMine and $2.9 million in Bullish last Friday, even though both stocks dropped more than 6% .

The firm’s recent activity also aligns with a surge in institutional interest in crypto infrastructure. Canary Capital, for instance, has launched a record-setting XRP ETF, while Kraken—a major industry player—has raised $800 million at a $20 billion valuation and is preparing to go public

. These trends underscore the growing importance of crypto in mainstream finance, despite persistent volatility.

ARK’s latest acquisitions indicate a deliberate shift toward foundational companies in the crypto space. “We view Circle as a dominant force in a market where the winner takes most,” wrote analysts at William Blair, pointing to the company’s strength in stablecoin infrastructure

. As Bullish and other exchanges broaden their offerings to include tokenization and institutional services, ARK’s investments may signal a wider change in investor attitudes—even as the market remains under pressure.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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