HOOD - Coinbase: Bitcoin Has Stalled. Now What?
2024-06-24 09:30:38 ET
Summary
- Coinbase stock has outperformed Bitcoin, powered by revenue up 111.98% YoY, proving dominance in the Bitcoin ETF custody market.
- Despite Bitcoin's range-bound status, institutional investments in crypto funds are surging, benefiting Coinbase.
- While risks include competition from platforms like Robinhood, I believe Coinbase's strong fundamentals and market positioning make it a strong buy.
Investment Thesis
Since March of this year, while Bitcoin (BTC)’s price has dropped by over 13% as of the time of this writing, Coinbase (COIN)’s stock has outperformed BTC falling just 2.39%.
Bitcoin high water mark came in March, with the crypto currency traded slightly above $73,800 , which propelled Coinbase's stock to the highest level in almost 3 years??. Fast forward to today, BTC is trading at about $63,000....
Coinbase: Bitcoin Has Stalled. Now What?