Coinbase , a leading crypto exchange, is facing bearish pressures. Following the cryptocurrency sector’s market downturn this year, it has lost over $38 billion. The depreciation in its stock value is a significant indicator of this. Technical Indicators Point to Further Decline Notably, Coinbase’s shares crashed from $350 in the last quarter of 2024 to less than $200. The company’s share is currently valued at about $190, and technical indicators signal further decline in the coming days. Daily charts for Coinbase stock, COIN, show two risky patterns have formed that signal a likely crash to $150. The bearish pattern shows that its two triangle lines are about to converge. This is because its 50-day and 200-day moving averages look set to cross. Market watchers predict the stock could become bearish in the next few weeks, plummeting to $150. Analysts Divided on Coinbase’s Outlook Despite this outlook, Wall Street analysts remain optimistic about COIN. Some analysts from Bernstein believe COIN’s fortunes will turn around , and its value could climb from the current $189 to as high as $310 this year. They project revenue growth of 23.7% this year, which could rake in $8.12 billion. Analysts have often highlighted the correlation between crypto prices and Coinbase. They noted that given Coinbase’s high exposure to crypto prices, the exchange has always experienced a thriving period whenever crypto prices rise and the reverse during market downturns. In 2021, for instance, Coinbase’s revenue soared to $7.3 billion following the market boom of that year. However, when Bitcoin crashed to $16,000 the following year, Coinbase’s revenue fell by more than half to $3.1 billion. Its revenue for 2023 stood at $3.1 billion but doubled in 2024 to $6.6 billion, rising with the bullish tide in the crypto space. Coinbase’s Strategic Shift Beyond Trading Revenue This volatility likely prompted Coinbase’s decision to diversify its business so that transaction revenue is not its sole income source. Coinbase’s recent financial outlook revealed that transaction revenue was responsible for $1.5 billion of income in the fourth quarter . Meanwhile, its subscription and revenue generated $641 million. The exchange has seen growth in its subscription due to blockchain rewards, custodial fees, stablecoins, and interest and finance fee income. The post Coinbase Stock Braces for Drop as Bearish Death Cross Emerges appeared first on TheCoinrise.com .
