Showing continued confidence in Coinbase, Cathie Wood’s Ark Invest bought $6.7 million worth of Coinbase shares (COIN) on Monday. This is the second time within a week that the investment firm bought COIN. On Friday, Ark Invest bought COIN worth $9.2 million.
The company made similar buys in January as well, acquiring COIN worth $ 5.8 million on January 5, and worth $3.3 million on January 12. In December, it acquired COIN worth 11.9 million and in November $56 million.
Coinbase shares were listed on Nasdaq on April 14, 2021, at an opening price of $250 and it ended the day at $328, making a gain of over 31%. However, in the subsequent months, the prices declined only to pick up in November when it rose to its all time high of $348.48 on November 12. Ever since, COIN has been struggling to maintain its price and on January 6, 2023, it fell to its all-time low of $32. Right now, it’s trading under $60.
On February 2, 2023, COIN hit $82, a 95% rise from its price at the start of the year. But in the past two weeks it has suffered major setbacks following SEC’s crackdown Kraken, forcing it to stop staking services in the US markets.
Coinbase is a major player in the US staking services market. Over the past two weeks, since SEC-Kraken settlement that also saw Kraken pay $30 million in fines besides closing down its staking services in the US, Coinbase has been insisting that it staking services are not securities.
The SEC had charged Kraken with offering securities in the form of staking services. Kraken had neither accepted or denied the charges. Instead, it went for a settlement.
