- Cathie Wood’s ARK Invest sold 37,876 shares of Bullish (BLSH), with the stock falling over 5% to $34.43.
- Bitcoin hovered near $66,000 with extremely bearish retail sentiment, as Citi lowered its BTC forecast and flagged stalled momentum around the CLARITY Act.
- ARK also trimmed positions in Block, Nvidia, Coinbase, and the ARK 21Shares Bitcoin ETF, even as TD Cowen reiterated a $95 target on Block.
Cathie Wood's ARK Invest sold 37,876 shares of Bullish (BLSH) across several funds on Friday, according to the company's most recent trade disclosures made on Saturday.
Shares of Bullish declined amid selling, dropping over 5% on Friday to $34.43, and fell 0.5% in after-hours, reflecting continued weakness in crypto-linked equities. On Stocktwits, retail sentiment around BLSH remained in ‘bearish’ territory, while chatter remained at ‘low’ levels over the past day.
According to TheFly, Citi reduced its bullish price target to $65 from $67 just last week, but it still gave the shares a ‘Buy’ rating. The firm claimed that because important issues were still being discussed, the CLARITY Act's legislative momentum had stalled. Additionally, Citi lowered its projections for the digital assets market, which reflected a drop in its base forecast for Bitcoin (BTC) from $143,000 to $112,000.
Bitcoin’s price was trading at $66,934, up over 1% in the last 24 hours. On Stocktwits, retail sentiment around BTC remained in ‘extremely bearish’ territory, while chatter levels were ‘low’ over the past day.
ARK Selling Block And Other Tech Stocks
As part of a larger portfolio reorganization, ARK also reduced its exposure to Block Inc. (XYZ) on Thursday and saw its stock decline following Wood's reductions in positions throughout Thursday and Friday. Additionally, the company reduced its stake in the ARK Bitcoin ETF (ARKB) and sold shares of Nvidia (NVDA) and Coinbase (COIN).
Even with the pressure to sell, opinions about Block are still divided. TD Cowen maintained its $95 price target and reaffirmed its rating on the stock, suggesting that it may rise above current levels, according to TheFly.
Additionally, institutional flows indicate ongoing interest in the business. In the fourth quarter, SG Americas Securities LLC acquired more than 279,000 additional shares of Block, increasing its ownership by more than 1,200%. Nordea Investment Management and Ulland Investment Advisors were among the other investors who increased their stakes as well. Approximately 70% of Block's shares are currently owned by institutional investors.
The conflicting signals, strong institutional accumulation, bullish analyst sentiment, and ARK's well-publicized selling highlight a difference between near-term positioning and long-term conviction regarding the stock.
Read also: Trump Goes All-In On Bitcoin, Vows US Will Dominate Crypto And AI
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