• The U.S. Securities and Exchange Commission (SEC) sued Coinbase Global for violating securities laws this week but Cathie Wood, founder and CEO of Ark Invest, bought $21 million worth of Coinbase stock on consequent sell-off.
• Coinbase stock is currently up nearly 60% versus the start of the year and Wood remains bullish on it despite SEC’s complaint.
• Analyst Mike Colonnese maintained his “buy” rating on the crypto exchange and expects its shares to climb up to $77 – a 45% return from current prices.
SEC Suing Coinbase
The U.S. Securities and Exchange Commission (SEC) sued Coinbase Global for violating securities laws this week. This caused an over 10% hit to its stock price resulting in consequent sell-off.
Cathie Wood Buys Coinbase Stock
Founder and CEO of Ark Invest, Cathie Wood saw this as an opportunity to load up on 419,324 shares of the crypto exchange worth about $21 million in total that was spit between three of her exchange-traded funds – Ark Innovation, Ark Next Generation Internet, and Ark Fintech Innovation. It is noteworthy here that Wood expects Bitcoin to hit $1.3 million by the end of this decade which is why she has been adding to her position in Coinbase stock this year; it is now her sixth biggest holding.
Coinbase Responds To SEC Complaint
Responding to the SEC complaint, the crypto company said: „Remember, SEC reviewed our business and allowed us to become a public company in 2021 and there’s no path to come in and register – we tried, repeatedly, so we don’t list securities.“
HCW Analyst Remains Bullish On Coinbse Stock
Who also remains bullish on Coinbase stock despite the SEC’s aggressive move is HCW analyst Mike Colonnese who maintained his “buy” rating on the crypto exchange this morning and said its shares could climb all the way up to $77 – a rather lucrative 45% return from here.
Despite coming under fire from US regulators again due to alleged violations of securities law, Cathie Wood remains bullish on Coinbase Global Inc., investing another $21 million into it with analyst Mike Colonnese expecting share prices rising all they way up to $77 – a 45% return from current prices