Cathie Wood is increasing her bet on Coinbase despite the cryptocurrency company’s sharp stock decline.
The founder and chief executive of Ark Investment Management bought another 77,380 shares of Coinbase Global on June 25 and June 26, according to Ark’s daily trading reports. Based on the latest closing price of $149.06, the purchase is worth about $11.5 million. The move continues Wood’s strategy of buying technology companies during market sell-offs instead of pulling back.
The latest purchase adds to several Coinbase investments made earlier in June. Wood bought 111,799 shares on June 17, followed by 13,065 shares on June 5 and 17,698 shares on June 4. Altogether, Ark acquired 219,942 Coinbase shares during the month. Before June, the firm’s last Coinbase purchase came in March.
Coinbase operates the largest cryptocurrency exchange in the United States. Its business depends heavily on trading activity, making its revenue closely linked to Bitcoin’s price. When Bitcoin rises, trading volume often increases. During market declines, trading slows, putting pressure on Coinbase’s financial results and stock performance.
This year has been difficult for both Coinbase and Bitcoin. Coinbase shares have fallen 34.09% year to date, while Bitcoin has dropped 30.6%. Both have significantly lagged the broader S&P 500 index.
Despite the weakness, Wood remains one of Bitcoin’s strongest supporters. In May, she repeated her prediction that Bitcoin could reach $1.25 million within the next five years. Even her conservative outlook expects the cryptocurrency to trade near $750,000.
“The bull case involves a substitution for gold,” Wood said during an interview with Fox Business. “So as generational wealth transfer takes place, we think that younger people are more prone to adopting a digital store of value. So that would be Bitcoin.”
Wood also believes new technology will reshape the broader economy. In a June 5 post on X, she argued that artificial intelligence is helping reduce inflation by improving productivity across many industries.
She said the bond market is “discounting something much more powerful: the deflationary impact of technological innovation, particularly artificial intelligence, which is beginning to increase productivity across broad swaths of the economy. ”
Wood added that easing tensions with Iran and lower oil prices could further reduce inflation.
“The next phase of this cycle could be characterized by accelerating growth, declining inflation, falling interest rates, and a strengthening U.S. dollar,” Wood said. “That combination would create a remarkably supportive backdrop for innovation-led equities and the technologies driving the next productivity boom.”
Not every investor shares that outlook. Over the 12 months ending June 24, the Ark Innovation ETF recorded roughly $1.01 billion in net investor withdrawals, according to ETF research firm VettaFi.
Ark’s flagship fund has delivered mixed results over time. The Ark Innovation ETF gained 35.49% during 2025, outperforming the S&P 500’s 17.88% return. This year, however, the fund has risen only 0.33%, while the S&P 500 has advanced 7.43%.
Wood built her reputation after the Ark Innovation ETF surged 153% in 2020. The same aggressive investment approach produced steep losses during the 2022 market downturn, when the fund dropped more than 60%.
Long-term performance has also remained under pressure. As of June 26, Morningstar data shows the Ark Innovation ETF has posted a five-year annualized return of negative 8.89%, compared with an annualized gain of 11.43% for the S&P 500. Morningstar analyst Amy Arnott also reported in March 2025 that the fund erased $7 billion in investor wealth between 2014 and 2024, ranking it as the third-largest wealth destroyer among mutual funds and exchange-traded funds at the time.
Morningstar analyst Bella Albrecht found that two Ark funds ranked among the weakest-performing ETFs during the first quarter of 2026. The Ark Next Generation Internet ETF finished second on the list, while the Ark Innovation ETF ranked fifth.
Wood continues to focus on companies involved in artificial intelligence, blockchain, biotechnology and robotics, arguing that long-term innovation will outweigh short-term market volatility.
Coinbase has also expanded beyond cryptocurrency trading. On June 16, the company announced plans to offer tokenized stocks to customers outside the United States, introduce artificial intelligence-powered investment tools, support stock portfolio transfers and expand into stock and cryptocurrency options trading.
“In the next few months, we are bringing together our U.S. spot exchange, international derivatives exchanges, and Deribit into a unified, regulated global liquidity pool to give customers the most liquid spot, perpetuals, and options access in the world,” the firm said in a statement.
Some Wall Street analysts believe the recent decline has created an opportunity.
Rosenblatt analyst Chris Brendler described Coinbase’s product expansion as “impressive” and said the upside remains “underappreciated,” according to The Fly. He maintained a Buy rating and a $240 price target, calling the recent decline “a buying opportunity.”
Benchmark also reaffirmed a Buy rating with a $270 price target after Coinbase’s product announcement. The firm said Coinbase is creating a comprehensive trading platform and added that “the ambition on display was sweeping enough to put every brokerage, bank, and fintech in the country on notice.”
As of June 26, Coinbase represented 3.44% of the Ark Innovation ETF, making it the fund’s tenth-largest holding.
Wood’s latest trading activity also included increasing positions in Circle Internet Group, Space Exploration Technologies, Palantir Technologies, Cerebras Systems, Recursion Pharmaceuticals, X-Energy, Robinhood and Bullish. She reduced holdings in Roku and Alibaba.
