Ark Invest Pangkas Bitcoin ETF Share Ownership, Here's Why!
Ark Invest, an investment management company led by Cathie Wood, is again selling most of Bitcoin (ARKB) ETF shares. On September 23, 2024, Ark Invest released 44,609 shares of ARKB worth 2.8 million US Dollars (Rp42 billion), continuing a similar sales trend that has been carried out so far this year. This move demonstrates Ark Invest's commitment to maintaining the balance of its investment portfolio amid the changing market dynamics.
Ark Invest's move to sell ARKB shares is nothing new. On August 1, 2024, the company sold ARCB shares worth 6.9 million US Dollars (Rp104 billion), after previously selling shares of 7.8 million US Dollars (Rp117 billion) in July. In total, Ark Invest has divested 17.5 million US Dollars (Rp264 billion) shares in recent months. This sale is part of the company's strategy to maintain a well-verified portfolio, where no single asset exceeds 10% of its total ETF portfolio.
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Despite the large sales, ARKB ETF remains an important part of the Ark's Next Generation Internet ETF (ARKW) portfolio. As of September 24, 2024, the Bitcoin ETF still accounts for 9.93% of the total ARKW portfolio, equivalent to 139.7 million US Dollars (Rp2.1 trillion). Meanwhile, Tesla's shares are in second place in the portfolio, weighing 10.15%.
This Bitcoin ETF performance remains solid throughout 2024. Its shares closed at 63.25 US Dollars (Rp954.758) on September 23, recording a 26.5% increase since the start of the year. Bitcoin itself was trading at 63.676 US Dollars (Rp961 million), an increase of 0.3% in the last 24 hours. The sale of ARKB shares by Ark Invest occurred amid positive cash flows that continued to flow into the Bitcoin ETF spot in the US. On Monday, the ETF recorded a net inflow of 4.5 million US Dollars (Rp67 billion), marking a third straight day of positive cash flow. During this period, more than 250 million US Dollars (Rp3.7 trillion) have been invested in the Bitcoin ETF in the US.
While Bitcoin's ETF enjoys positive cash flow, Ethereum's ETF in the US faces different challenges. On the same day, Ethereum's ETF recorded a large outflow of 79.3 million US Dollars (Rp1.1 trillion), reflecting the difference in investor sentiment between these two main crypto assets.