Wall Street funds sell tech and crypto - crash incoming?

Although European stock markets and Bitcoin performed well on Monday, a different movement seems underway beneath the surface that we would like to warn you about. Apparently, many well-known Wall Street funds have quietly started offboarding their tech and crypto stocks over the past week. Some of them are convinced that the conflict between Iran and the United States could drag on for months.

Cathie Wood

One of them, Ark Invest, the investment firm of well-known tech investor Cathie Wood, sold millions of dollars worth of shares in major technology companies in a single week. Ark specifically reduced its positions in Nvidia and Meta and also decreased its exposure to Bitcoin via its own Bitcoin ETF. Insider knowledge?

The prominent technology companies indeed performed very poorly over the past month, and improvement does not seem to be on the horizon anytime soon. Meta fell by more than 17% in March. The majority of those losses, about 10%, occurred in the past week, after the social media platform lost two lawsuits regarding social media addiction.

Nvidia performed better, but still fell by about 5% due to the uncertainty surrounding the conflict in Iran. The company was also sued regarding alleged shortfalls in revenue from crypto mining. In addition to those technology stocks, Ark Invest also disposed of a portion of its crypto investments.

The company sold approximately $11 million worth of shares in its own spot Bitcoin ETF (ARKB) and approximately $6.5 million worth of shares in crypto exchange Bullish.