Bitcoin shoots up while Cathie Wood doubles down on her Coinbase investment

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Last Updated on 6 November 2023 by CryptoTips.eu

The support line of $25k appeared much stronger than some thought it would be and after Bitcoin bounced on that price last week it started rising again. At the time of writing the world’s biggest digital coin is once again being traded for $28,800 and rose 8% in the past 24 hours.

Legendary analyst Peter Brandt believes the upwards cycle has started.

An old stock market adage says that if you lose, you should double your investment to halve your losses at each drop. It is known as the ‘double down’ strategy. After all, if the stock in which you invest suddenly shoots up again, it will not take long before you recover all your losses.

However, what Cathie Wood of investment fund Ark Invest does with her investment in crypto platform Coinbase defies all imagination. Cathie was one of Wall Street’s top investors during the Covid-19 pandemic, but has since suffered huge losses due to, amongst other things, her investment in Coinbase.

She remains firmly convinced that Brian Armstrong’s company can make a comeback, even though the SEC is now starting a lawsuit against the largest US crypto platform.

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Fourth biggest

When Coinbase went public in April 2021, Wood was already a huge fan. As a result, she let her Ark Fund buy a lot of shares of Coinbase during the IPO, for an average price of about $200. As Coinbase reached $300 on the day of the IPO, it seemed like a genius investment.

However, in 2022, after Bitcoin bounced back from its all-time high, Coinbase shares fell rather hard. At first it traded again at $200, but by the end of the year even $50 was shown. 2023 has not been Coinbase’s best year on the stock market either.

With the SEC now starting a lawsuit against Coinbase, many on Wall Street wondered if Wood would finally admit she made a mistake.

However, Cathie did the old double down strategy and bought even more shares of Coinbase. Ark Invest is by now the fourth largest shareholder in Coinbase.

She is also still convinced that one day we will see one Bitcoin be worth a million dollars. Strong convictions she certainly has. Let’s hope that at least one of those two turns out correct.

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / [email protected]
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