The COIN Stock Might Battle Near-Term Volatility, Says Analyst 

Owen Lau, an analyst at Oppenheimer, predicts that the stock of a leading company in the cryptocurrency industry Coinbase might battle near-term volatility in terms of price. 

Owen added, “There is still a regulatory overhang, we still don’t have clear regulations in the United States right now.” 

The statements of analysts are coming following the lawsuit of Coinbase with the Securities and Exchange Commission of the United States, and the declining price of Bitcoin, the crypto market pioneer. 

As per data from TradingView, when writing, the COIN stock was trading at $125.20. The trading price of stock declined over 28% in the past 30 days, which is somehow linked to the prices of Bitcoin. 

The Securities and Exchange Commission accused Coinbase, one of the leaders in the centralized exchange category, that it has violated security laws. Market watchers believe that the fluctuation will be seen further till the case comes to its conclusion. 

A legal expert of Bloomberg, Elliot Stein believes that the outcome of the legal battle between Coinbase and the SEC might come in favor of the exchange, and the stock price might further show profitability of 70%.

Other than the United States, Coinbase is leading operations in several other nations. As of writing, the cryptocurrency exchange has over 50 million active users and many as a whole. 

Coinbase (COIN) Stock Price & Company’s Finance 

On December 29, 2023, the COIN stock traded highest at $187.24 and since then it declined over 37.32% and it was trading at $125.20 at press time. In the Year-to-date time frame, it is showing negativity of 27.64%. 

Coinbase’s 167.72 Million shares are free floating in the market and approximately 24.30 Million shares are closely held either by the board of directors or the company members. 

The company gathers 71.04% of its total revenue from retail business followed by Interest, which constitutes 10.38%, Blockchain rewards 8.75%, Institutional 3.79%, Other subscriptions 3.5%, and the remaining 2.54% from custodial fees.      

Coinbase reported 3.56% more revenue in the third quarter of 2023 than expected figures. Similarly, the EPS of the firm was positive 98.18% in Q3 2023. The market capitalization of the company showed a major decline in 2024, earlier in 2023 the closing cap was $41.60 Billion but as of writing the market cap is $29.95 Billion. 

Disclaimer

The views and opinions stated by the author or any people named in this article are for informational ideas only and do not establish financial, investment, or other advice. Investing in or trading crypto or stock comes with a risk of financial loss.

Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.