ARK Invest Buys Robinhood Dip, Trims Bitcoin ETF Holdings Amid Market Shift

ARK Invest, led by Cathie Wood, made a notable portfolio adjustment on April 29, purchasing approximately $39.4 million worth of Robinhood Markets (HOOD) shares while simultaneously selling around $6.1 million of its ARK 21Shares Bitcoin ETF (ARKB). The move highlights ARK’s ongoing strategy of balancing crypto-related equities with direct Bitcoin exposure.

According to ARK’s daily trading disclosures, the firm acquired 553,892 shares of Robinhood across its three flagship funds: ARK Innovation ETF (ARKK), ARK Next Generation Internet ETF (ARKW), and ARK Fintech Innovation ETF (ARKF). This buying activity came shortly after Robinhood reported disappointing first-quarter earnings, including a 47% year-over-year decline in crypto revenue. The company posted total revenue of $1.07 billion, falling short of analysts’ expectations of $1.17 billion. Despite weaker crypto trading activity, Robinhood still managed a 3% increase in net income, reaching $346 million.

ARK Invest has a history of buying Robinhood stock during price dips, and HOOD remains one of the top six holdings across its major funds. The latest purchase suggests confidence in the brokerage’s long-term growth potential, even amid short-term volatility in crypto trading volumes.

On the other side of the trade, ARK reduced its position in the ARK 21Shares Bitcoin ETF by selling 243,147 shares from ARKW and ARKF. This adjustment aligns with broader trends in the market, as U.S. spot Bitcoin ETFs experienced combined outflows of $137.8 million on the same day, including $30 million from ARKB alone.

This portfolio rebalancing reflects ARK’s tactical approach rather than a bearish outlook on Bitcoin. Cathie Wood has consistently maintained a long-term bullish stance on BTC, previously projecting a $1 million price target. The firm’s strategy continues to involve shifting between crypto-linked stocks like Robinhood and direct Bitcoin investments depending on market conditions.