Market Update

What is the next for the price of Coinbase with the height of the Bitcoin and the height of the cryptocurrency to the improvement of profits?

Coded Exchange platform Coinbase Global published the profit report on Thursday night, which won the expectations of analysts and showed a significant increase in revenue on an annual basis, but the share price decreased at the beginning overnight in the pre -market trade and decreased by 5 percent after the opening on Friday.

the NasdakThe listed company has witnessed its prices of 50 percent over the past six months, reaching 298 dollars (236 pounds) at the end of the game before announcing the last financial update.

But it was a usually wild journey over the past five years, as was the case with many products or platforms associated with it Bitcoin Cryptocurrency: 328 dollars in October 2021, Coinbase Shares It was destroyed to less than $ 40 at the beginning of 2023. Since the last months of that year, although it was again – in general, with more than a few wild fluctuations – rising again and topped $ 330 by December 2024.

Many can be explained in part of the business model. Bitcoin low and encryption prices have resulted in lower fees for each treatment for Coinbase, while fewer transactions in general also affected. In addition, there have been regulatory concerns for a long time as well as litigation cases to confront them.

With the adoption of encrypted currencies in the prevailing financial arena, in addition to the increasing public awareness (and political), in addition to that President Donald Trump announces that he wants America to be “the capital of encryption” in the world, trading has increased again.

Coinbase’s profit profit report for one share (EPS) of $ 4.68 for the three months until December 31, with analysts expected a profit of $ 1.81 per share. Reuters.

Transaction revenue increased by 172 percent to $ 1.6 billion, with total revenues of $ 2.3 billion, after reaching 953.8ma in the previous year. It is clear that this is a great growth over a year throughout the year, but as is always the case in the platform question – and for companies that suffer from growth in general – whether it is sustainable, and what comes after that.

So what do analysts and experts say about her now? The share price fell more than four percent in pre -market trading, but by the back of GMT – it is still more than two hours before the opening of the American markets – it was only 1.7 percent reserves from the closure of Thursday. This day witnessed that the stocks rise by more than eight percent, in anticipation of updating the results, but Friday within five minutes after the opening of the markets, the price decreased between two and five percent again. Volatility, in fact.

Analysts’ point of view

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Analysts who cover the company are divided into the target share-usually the expectation index is for a period of 12 months or the end of the year, but it is often vulnerable to change-but in all areas at least 24 of the 26 shares rate as a strong purchase, purchase or contract, for each Yahoo financing Latest data.

Citi maintains a purchase on Global, citing a targeted price of $ 350, with Benzinga existing The stock price goals range from 328 pounds (Barclays) to $ 420 (Nidham).

The lowest level in their list was the Kyle Voight analyst in Kefe, Bruyette and Woods, which offers the “market performance” rating – in other words, is an expectation that participates in the rise or is in line with the broader market – and the price of $ 275.

Jeffrez Trevor Williams analyst He said Yahoo Financing that higher marketing spending will lead to a decrease in profit margins and has a classified classification on stocks, while JP Morgan Ken Worthington analyst said that the trading sizes “have remained a largely intact elections, indicating that this level of speed, activity and revenues remained intact to Big.

Dan Cutsworth, AJ Bell Investment Analyst, said, Independent: “The tinnitus is about how Donald Trump will become the first American president to embrace encrypted currencies with open weapons that caused madness among the audience who were keen to get a bitcoin slice. He created the perfect environment for Coinbase as he used the flood of the platform to buy and sell encryption. These actions helped Commercial Commercial Work to overcome profit expectations for the first time in three quarters.

“What is really impressive is size From “rhythm”. The market expects $ 1.36 profits per share, and Coinbase made more than three times this amount at $ 4.68. It is extremely rare for us to see a company that destroys predictions on this large range.

“The big question for investors is whether this winning series has ended now. The stock market is looking forward and investors are interested in what will happen after that, and not just reported. My chapter success as fireworks that lit the sky but quickly disappeared.

“The next quarter is expected to generate a profit of $ 1.28 per share, less than expected for the quarter that has just ended. The encryption market is driven by pure speculation and when things calm down on the news front with regard to the main buyers or sellers, or what may happen from a political or organizational perspective The trading volume will inevitably disappear. “

Coinbase’s intention

((AFP via Getty Images))

Of course, Coinbase themselves optimistic about future prospects.

“We really enter a golden era to encrypt here. The opportunity has not been preceded to modernize the financial system and increase economic freedom all over the world,” said CEO, Brian Armstrong, after terrorism.

“President Trump is moving quickly to achieve his promise to make us the planet’s encryption capital. The most supportive conferences that we have seen at all lead this charge to the legislation of the market structure and the structure in the market. Given the leadership of the United States here, adding that the rest of the world is noticing and will be under pressure to embrace the dependence of encryption.” .

Coinbase wants that market additions from the presidential management revolve around the classification of the distinctive symbol and Stablecoins, while there will also be a expectation that they will also discuss a greater share of institutional investors in Crypto over time.

Possible opposite winds and back winds

Tradingvief Note Retail investors are no longer to buy and sell the cryptocurrency to the same levels as shown in 2021. This means that there is a room for more – but may explain more people to realize the tax effects of Bitcoin and the later now, which was not the case earlier. .

International expansion is another possible case, but as organizational pressure may now reduce the United States, it may still face major issues in other countries where governance is not pro -rental or where retailers are more restricted in how they traded.

In addition, Coinbase has a low return rate on stock (0.88 percent), Banznaga Offers, with a net margin (6.26 percent) also less than the average industry and the cost reduction may be on the agenda. All this, before looking I mentioned Revenue this week.

Regardless of the way the price of Coinbase is going, it is likely that the cryptocurrency itself is volatile and unpredictable and a source of the argument between those who think it is a large part of the future, and those who see it as a small value or no fundamental value.

https://static.independent.co.uk/2025/02/14/12/41/iStock-1334406797.jpeg?width=1200&height=800&crop=1200:800

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