Cathie Wood Buys $17.8M in Circle Stock After Sharp CRCL Selloff

Cathie Wood’s ARK Invest increased its exposure to Circle Internet Group (NYSE: CRCL) after the stablecoin issuer’s shares experienced a steep decline. According to ARK Invest’s latest daily trading disclosure, the investment firm purchased a combined 287,609 Circle shares across three of its exchange-traded funds, signaling confidence in the company despite recent market weakness.

Based on Circle’s Wednesday closing price of $61.95, the total purchase was worth approximately $17.82 million. The largest allocation came from the ARK Innovation ETF (ARKK), which acquired 210,343 shares. The ARK Fintech Innovation ETF (ARKF) added 23,420 shares, while the ARK Next Generation Internet ETF (ARKW) purchased 53,846 shares.

Circle’s stock has been under significant selling pressure in recent weeks. The shares slipped 1.09% on Wednesday to close at $61.95, extending Tuesday’s sharp 14.15% decline. Over the past month, CRCL stock has fallen more than 38%, reflecting growing investor caution.

One factor behind the decline was Circle’s removal from several major Russell growth indexes during the annual Russell reconstitution on June 26. The company was dropped from the Russell 1000 Growth Index, Russell 3000 Growth Index, and Russell Midcap Growth Index, prompting index-tracking funds and passive investors to adjust their portfolios, which increased selling pressure on the stock.

Circle is also facing stronger competition in the stablecoin market. The launch of Open USD (OUSD), backed by major financial and technology companies including BlackRock, Coinbase, Ripple, Mastercard, and Visa, has intensified competition for USDC, Circle’s flagship stablecoin.

Despite these challenges, Circle continues to strengthen its institutional presence. The company recently announced a partnership with Standard Chartered that will enable institutional clients to mint and redeem USDC, reinforcing the stablecoin’s utility in regulated financial markets.

Investor sentiment improved following the announcement, with Circle shares rising 4.25% in premarket trading Thursday to $64.58, suggesting that some investors viewed the recent decline as an attractive buying opportunity.

Alongside its investment in Circle, ARK Invest made several additional portfolio adjustments. The ARK Innovation ETF increased holdings in Recursion Pharmaceuticals, SoFi Technologies, Snowflake, Bullish, and Rocket Lab, while trimming positions in Twist Bioscience, Absci, Veracyte, Alibaba, and Roku.

The ARK Fintech Innovation ETF also adjusted its portfolio, adding exposure to select holdings while reducing positions in Bullish, Alibaba, Roku, and Strata Critical Medical through transactions involving ARKW.

Cathie Wood has remained an active buyer of crypto-related companies in recent months, consistently increasing stakes in firms such as Coinbase, Robinhood, Bullish, and Circle. Beyond digital asset investments, ARK Invest recently expanded its private-market exposure by purchasing approximately $32.5 million worth of SpaceX shares, underscoring Wood’s continued focus on disruptive technology and innovation-driven companies.