Cathie Wood’s ARK doubles down on Circle, BitMine and Bullish as crypto equities tumble
Cathie Wood’s ARK Invest is leaning into the latest sell-off in crypto-related equities, ramping up positions in Bullish, Circle Internet Group and BitMine Immersion Technologies across several of its exchange‑traded funds, even as the sector extends a steep pullback.
According to ARK’s daily trade report, the firm deployed more than $39 million into the three names on Wednesday alone, using the weakness in digital‑asset stocks as a chance to build exposure rather than retreat from the sector.
Bullish becomes a core bet across ARK funds
Bullish was the primary target of fresh buying.
– The ARK Fintech Innovation ETF (ARKF) acquired 48,011 Bullish shares.
– The ARK Next Generation Internet ETF (ARKW) added another 92,670 shares.
– The flagship ARK Innovation ETF (ARKK) made the largest move, scooping up 322,917 shares.
In total, the Bullish allocations now represent roughly 16.8 million dollars’ worth of stock, highlighting the trading platform as one of ARK’s central expressions of its long‑term crypto thesis. ARK has steadily framed exchanges and trading venues as critical infrastructure plays in the broader digital‑asset ecosystem, benefiting not only from spot trading but also from derivatives, institutional flows and token listings.
Circle: a vote of confidence in stablecoin infrastructure
ARK also scaled up its exposure to Circle Internet Group, the company behind the USDC stablecoin, one of the largest dollar‑pegged crypto assets by market capitalization.
The day’s purchases broke down as follows:
– ARKF bought 22,327 Circle shares.
– ARKW increased its stake by 43,174 shares.
– ARKK led the charge again, adding 150,518 shares.
Taken together, ARK invested around 15 million dollars in the stablecoin issuer. The move underscores ARK’s view that stablecoins are becoming a foundational layer for on‑chain payments, settlements and tokenized assets. By backing Circle on a sell‑off day, ARK appears to be expressing confidence that regulated, fiat‑backed stablecoins will remain central to both retail and institutional adoption of crypto.
BitMine adds higher‑beta exposure to the portfolio
BitMine Immersion Technologies, a crypto mining and infrastructure company, also saw substantial inflows from ARK’s funds.
– ARKF purchased 26,923 BitMine shares.
– ARKW added 51,954 shares.
– ARKK accumulated the largest block with 181,774 shares.
Altogether, these buys amount to approximately 7.6 million dollars. Miners like BitMine typically trade with high beta relative to Bitcoin and the broader crypto market, meaning they can fall harder in downturns but also rebound more sharply when sentiment turns. ARK’s repeated buys in BitMine suggest the firm is using volatility to scale into what it views as leveraged plays on the long‑term growth of the Bitcoin network and related infrastructure.
Purchases come amid broad crypto‑stock weakness
ARK’s buying spree took place against a backdrop of pronounced weakness across crypto‑linked equities, as digital‑asset prices have been retreating from their highs reached in October.
On Wednesday:
– Bullish declined 3.63% to close at 36.39 dollars, extending its recent downward streak before recovering slightly in after‑hours trading.
– Circle finished the regular session nearly 9% lower at 69.72 dollars.
– BitMine dropped 9.5% to 29.18 dollars, though it bounced more than 6% in after‑hours trading.
The selling pressure was not limited to these names. Strategy, the Bitcoin treasury company led by Michael Saylor, fell 9.82% during the session before clawing back part of those losses after the close. This type of synchronized drop across the sector points to macro‑driven risk‑off sentiment rather than company‑specific news.
ARK extends an ongoing crypto buying streak
The latest round of purchases continues a week‑long accumulation trend. Earlier in the week, ARK had already stepped in to buy 10.2 million dollars’ worth of BitMine shares as the stock slid to a fresh all‑time low. At the same time, the firm trimmed exposure to some of its longstanding winners in other sectors, rebalancing toward what it views as oversold innovation themes.
This pattern is consistent with ARK’s established playbook: take profits in names that have run ahead of their fundamentals or valuations, and rotate into high‑conviction assets that have been punished by short‑term sentiment rather than a structural deterioration in their outlook.
Why buy when crypto stocks are sliding?
ARK’s aggressive positioning during a downturn reflects a clear contrarian stance. The firm has repeatedly argued that disruptive technologies — including cryptocurrencies, blockchain infrastructure and AI — are often most attractively valued in periods of market stress, when many investors are de‑risking.
By spreading purchases across ARKF, ARKW and ARKK, ARK is also expressing a view that crypto is not an isolated theme but an integral part of multiple innovation verticals:
– As fintech infrastructure (payments, trading, lending).
– As next‑generation internet architecture (Web3, tokenization, decentralized data).
– As a component of broader disruptive technology baskets.
The diversification of crypto exposure across different ETFs allows ARK to tailor risk levels and thematic emphasis for various types of investors while still leaning into its overarching thesis.
Nvidia’s blockbuster quarter lifts broader tech sentiment
While crypto‑linked stocks were under pressure during the regular session, sentiment across technology and AI equities improved sharply after the close, thanks to a blowout earnings report from Nvidia.
The chip designer reported:
– 57 billion dollars in revenue.
– 31.9 billion dollars in profit.
Both figures came in well above market expectations, and the company issued a bullish revenue forecast of 65 billion dollars for the fourth quarter. That guidance helped calm concerns that demand for AI‑related chips and infrastructure might be stalling after an explosive multi‑quarter run.
Nvidia’s shares jumped more than 5% in after‑hours trading, and the positive momentum spread across mega‑cap tech. Apple, Microsoft, Alphabet, Amazon and Meta all posted gains in late trading, signaling that investors are still willing to pay up for dominant players in AI and cloud computing.
How AI strength interplays with ARK’s crypto bets
For ARK, Nvidia’s results are more than just good news for one stock. They reinforce a broader narrative: AI, cloud and digital‑asset technologies are converging into a new infrastructure layer for the global economy. ARK has long argued that:
– AI will transform data analysis, trading, risk management and on‑chain analytics in crypto markets.
– Blockchains will provide transparent, programmable value rails that can be integrated into AI‑driven applications and financial services.
Nvidia’s earnings therefore support the idea that the digital transformation cycle is far from over, even if segments like crypto are currently in a correction. By keeping a foot firmly in both AI and crypto, ARK is positioning its portfolios to benefit from what it views as mutually reinforcing innovation waves.
What ARK’s moves signal for crypto‑equity investors
For investors watching the sector, ARK’s latest trades send several clear signals:
1. Long‑term conviction remains intact
The size and timing of the buys suggest ARK views the recent pullback as cyclical, not structural. Rather than de‑risking, the firm is increasing its crypto allocation.
2. Preference for infrastructure over pure tokens
The focus on Bullish, Circle and BitMine highlights a bias toward companies that provide the plumbing — trading, stablecoin issuance, mining and infrastructure — rather than direct token exposure alone.
3. Volatility as a feature, not a bug
ARK is using steep price drops (9–10% daily moves in some names) as entry points, consistent with an approach that embraces volatility in exchange for potentially higher long‑term returns.
4. Integration across themes
By spreading crypto‑related exposure across fintech, internet and broad innovation ETFs, ARK is betting that digital assets will not remain a niche but will embed into mainstream finance and technology.
Key risks behind the strategy
Despite ARK’s conviction, the approach is not without significant risk:
– Crypto‑exposed equities remain highly sensitive to regulatory shifts, especially in major markets such as the United States and the European Union.
– Revenue and profitability for miners and exchanges can swing sharply with token prices and trading volumes.
– Stablecoin issuers like Circle must constantly manage counterparty risk, reserve transparency and evolving rules around digital dollars.
Investors following ARK’s moves should recognize that such positions are typically suited for those with a multi‑year horizon and a high tolerance for drawdowns, rather than short‑term traders seeking stable returns.
The broader takeaway
ARK’s latest accumulation of Bullish, Circle and BitMine underlines a consistent message from the firm: corrections in high‑volatility innovation sectors are, in its view, opportunities to deepen exposure rather than reasons to abandon the theme. While the crypto‑equity space remains under pressure, ARK is treating the downturn as a chance to buy what it considers the key infrastructure players of a future, more digitized financial system.
Against the backdrop of surging AI demand, tech resilience and ongoing experimentation in blockchain and stablecoins, ARK is effectively betting that today’s drawdown will look like noise on a longer‑term chart of digital transformation.