Investors are speculating and becoming concerned after it was reported that Cathie Wood, the CEO of Ark Invest, has been “quietly decreasing” her exposure to Bitcoin (BTC) assets. The information that Wood has been reducing her exposure to Bitcoin while publicly retaining an optimistic view on the major cryptocurrency was revealed by WhaleWire, a well-known source of market insights on cryptocurrencies.
https://x.com/WhaleWire/status/1727920259192020997?s=20
According to the tweet, Cathie Wood gained notoriety the week before for pushing irrational Bitcoin forecasts that suggested a rise beyond $1,480,000. Despite her outward bullishness, ETF Trading data showed that she had been quietly selling over 700,000 shares of Bitcoin Grayscale Trust via her Ark ETF, which significantly decreased Ark’s exposure to BTC.
The message drew comparisons to a similar situation in 2021, when Woods secretly reduced his stakes by -84% while pushing people to purchase Tesla shares and establishing ARK’s price objectives at $3,000. The tweet’s speculation on the current state of affairs raises concerns about Wood’s investment strategy’s openness as well as possible effects on Ark Invest’s overall portfolio performance.
Wood on Spot Bitcoin approval
Cathie Wood was upbeat about Bitcoin in a recent interview with Yahoo Finance, estimating a base case of $600,000 to $650,000. Market watchers pointed out that her optimistic forecast contrasts with her stated decrease in Bitcoin holdings. Wood expressed her conviction that, should a spot Bitcoin ETF be authorised, the cryptocurrency’s potential may outperform her base case, demonstrating her continued confidence in it. It’s interesting to note that Ark Invest has filed an application with the Securities and Exchange Commission (SEC) for a spot Bitcoin ETF, and Wood brought attention to an important development. Wood surmised that “something has changed” in the regulatory landscape when the SEC followed up on Ark’s most recent application with inquiries rather than with an outright refusal. This move, in Wood’s opinion, makes it more likely that the spot Bitcoin ETF will be approved.
