On February 3, 2026, Ark Invest continued its aggressive buying spree in crypto-related stocks, adding $3.25 million in Bitmine, $3.46 million in Bullish, $2.4 million in Circle, $1.77 million in Block Inc., and $630,606 in Coinbase, per The Block. This follows Monday’s purchases, extending Ark’s strategy to capitalize on the ongoing crypto market downturn, where Bitcoin trades at $76,321 (down 3%) and Ethereum at $2,264 (down 3.1%), per CoinMarketCap. Bitmine closed down 1.9%, Bullish 3.9%, Circle 4.6%, Block 6%, and Coinbase 4.3%, reflecting broader weakness.
Cathie Wood views the slump as a buying chance, predicting inflation could turn negative, with consumer price inflation at 0.86% year-over-year, per Truflation. She notes gold’s rally may precede Bitcoin’s next bull run, citing a 0.14 correlation since 2020 where gold led major BTC moves, per her X post. Ark’s focus on Bitmine (Ethereum treasury), Circle (USDC issuer), and Bullish (crypto exchange) aligns with institutional adoption trends, despite SEC delays on XRP and Solana ETFs. Block Inc.’s Cash App and Coinbase’s exchange dominance add exposure to retail and institutional flows.
Ark’s $11.5 million in Tuesday buys signals confidence in crypto’s long-term trajectory, potentially stabilizing sentiment amid $272M in 2024 fraud losses and regulatory scrutiny, per. Bitmine’s Ethereum treasury and Circle’s USDC compliance efforts (e.g., GTR membership) position them for recovery, per. Bullish’s exchange growth and Block’s BTC payments could benefit from Fed rate cut expectations (85% for September), per CME FedWatch. However, leverage risks in DAT firms like Windtree highlight volatility, per. BTC support at $75,000 and ETH at $2,200 are key, TradingView.
Wood’s negative inflation forecast could boost Bitcoin as a store of value, with gold’s rally as a precursor, per. Ark’s buys may foreshadow a Q2 2026 rally, targeting BTC at $100,000 and ETH at $3,500, per Techopedia. Investors should monitor ETF flows on SoSoValue and Fed updates. Dollar-cost average into BTC or ETH with stop-losses below supports, or diversify into USDC, per. Follow @TheBlock__ on X for updates. Ark’s contrarian strategy could pay off if inflation cools and institutional inflows resume.
