Cathie Wood bets against the trend with 10 million dollars! Stock price falls 4.5% but still buys aggressively Bullish.

Cathie Wood's Ark Invest purchased $10.2 million worth of Bullish stocks this week through its three exchange-traded funds, continuing to expand the company's investments in the Crypto Assets field. Ark's latest acquisition comes as Bullish's stocks fell on the New York Stock Exchange, with Bullish's stocks closing down 4.5% on Monday, reporting $36.75.

Cathie Wood's three funds jointly buy 10.2 million dollars against the trend

(Source: Ark Invest Tracker)

Cathie Wood's Ark Invest purchased $10.2 million worth of Bullish stock on Monday through its three exchange-traded funds, continuing to expand the company's investments in the crypto assets space. According to the trading report released by the company on Monday, the ARK Innovation ETF (ARKK) bought 191,195 shares of Bullish stock, the ARK Next Generation Internet ETF (ARKW) acquired 56,660 shares, and the ARK Fintech Innovation ETF (ARKF) also increased its holdings by 29,208 shares of Bullish stock.

It is relatively rare in Cathie Wood's investment history for three funds to jointly purchase the same asset. Typically, Ark Invest differentiates its allocation based on the investment themes of different ETFs. ARKK focuses on disruptive innovation, ARKW pays attention to next-generation internet technologies, and ARKF focuses on the fintech revolution. When all three funds simultaneously buy bullish, it indicates that Cathie Wood believes the asset fits all three themes of innovation, internet, and fintech, and such intersecting assets are often the most valued investment opportunities by Ark Invest.

Based on a closing price of $36.75 per share, the 191,195 shares purchased by ARKK are worth approximately $7.02 million, accounting for about 69% of the total purchase. The 56,660 shares purchased by ARKW are worth approximately $2.08 million, and the 29,208 shares purchased by ARKF are worth approximately $1.07 million. This allocation ratio indicates that ARKK, as the flagship fund of Ark Invest, has undertaken the primary allocation task.

Ark's latest acquisition comes at a time when Bullish stocks are falling on the New York Stock Exchange, with Bullish stocks closing down 4.5% on Monday at $36.75. This contrarian buying is typical of Cathie Wood's investment style. She is known for “reverse investing,” often making large purchases of her favored assets during market panic. This strategy has proven to be hugely successful in her investments in Tesla, where Ark Invest continued to buy during Tesla's price slump, ultimately reaping multiples in returns.

Ark Invest bought Bullish details on Monday

ARKK (Innovation ETF): 191,195 shares, approximately 7.02 million USD

ARKW (Next Generation Internet ETF): 56,660 shares, approximately 2.08 million USD

ARKF (Financial Technology ETF): 29,208 shares, approximately 1.07 million USD

Total: 277,063 shares, 10.2 million USD

During the week, an additional investment of over 30 million was made, Cathie Wood's systematic layout in encryption

Since the beginning of this year, Ark has been actively adjusting its Crypto Assets investment portfolio. Last Thursday, the company purchased $7.28 million worth of Bullish shares, $15.56 million worth of Circle shares, and $8.86 million worth of BitMine shares. This means that in just two trading days, last Thursday and this Monday, Cathie Wood has invested about $41.9 million in crypto-related stocks.

If we only count Bullish stocks, last Thursday bought 7.28 million USD, and this Monday bought 10.2 million USD, totaling 17.48 million USD. This continuous and large-scale buying shows Cathie Wood's optimism towards Bullish. Typically, institutional investors build positions in batches to lower the average cost and market impact, but Cathie Wood has made large purchases consecutively within just a few days, indicating that she believes the current price has extremely high investment value.

The $15.56 million acquisition of Circle's stock is also worth noting. Circle is the issuer of the USDC stablecoin, which is the second largest stablecoin in the world, second only to Tether's USDT. As the regulatory framework for stablecoins becomes clearer, Circle's value as a compliance leader is becoming evident. Cathie Wood's large acquisition of Circle shows her optimism about the core position of stablecoins in the future financial system.

BitMine's $8.86 million acquisition indicates Cathie Wood's allocation in the Bitcoin mining industry chain. BitMine is a publicly traded company focused on Bitcoin mining. As Bitcoin prices pull back, mining companies' stock prices often fall more significantly, but this also provides a higher investment cost-performance ratio. If Bitcoin prices rebound, the leverage effect of mining stocks will amplify returns.

This comprehensive encryption layout shows that Cathie Wood is systematically increasing exposure to the Crypto Assets ecosystem. From exchanges (Bullish) to stablecoins (Circle) to mining (BitMine), Ark Invest covers multiple key links in the Crypto Assets industry chain. This diversified allocation not only disperses risk but also ensures the ability to capture the upward opportunities of the entire Crypto Assets market.

Bullish exchange background and November 19 financial report expectations

The cryptocurrency exchange Bullish, supported by billionaire tech investor Peter Thiel, will announce its third-quarter financial report on November 19. In the second quarter, the company's adjusted revenue was $57 million, down from $67 million in the same period last year. The net profit for the second quarter was $108.3 million, compared to a net loss of $116.4 million in the same period last year. This transition from loss to profit shows that Bullish's business model is improving.

Peter Thiel, as a major supporter of Bullish, provides strong endorsement for the exchange. Thiel is a co-founder of PayPal and an early investor in Facebook, hailed as one of Silicon Valley's most successful investors. His support for Bullish signifies that the exchange possesses competitiveness in technology, compliance, and market strategy.

In early October, Bullish launched spot trading in the United States after obtaining a key license in New York State. The exchange stated that its cumulative trading volume has exceeded $1.5 trillion since the end of 2021. The BitLicense from the New York State Department of Financial Services (NYDFS) is one of the strictest cryptocurrency licenses in the United States, and obtaining this license means that Bullish has achieved very high standards in compliance and risk management. This has cleared the biggest obstacle for its expansion in the U.S. market.

The third quarter financial report on November 19 will be a crucial validation moment for Cathie Wood's buying decisions. If the report shows continued growth in revenue and net profit, it will prove Cathie Wood's judgment to be correct, and the stock price may experience a rebound. Conversely, if the report falls short of expectations, it may trigger further sell-offs. From Cathie Wood's ongoing purchases, it is clear that she has a positive outlook on the upcoming financial report.

Cathie Wood's continued investment in Bullish may be based on several judgments. First, obtaining a license in New York will significantly increase Bullish's market share in the United States. Second, as the regulatory environment for Crypto Assets improves, the competitive advantages of compliant exchanges will become more apparent. Third, if Bullish's trend from loss to profit continues, there is considerable room for its valuation to increase.