When you buy through affiliate links in our content, we may earn a commission at no extra cost to you. Learn Investors in Coinbase Global (COIN), the cryptocurrency exchange platform, have seen the company’s stock price soar 181% over the past year.
The US-based company has benefited from strong quarterly results, rising cryptocurrency prices, and the recent signing of a multi-million dollar contract.
But where will the Coinbase stock price go next? Can we expect it to continue rising or is the next move likely to be downwards?
In our Coinbase stock forecast for 2024, 2025, and beyond, we look at the company’s most recent results, consider the latest news announcements, and reveal the views of analysts.
Key Takeaways
- The Coinbase stock price has increased by 181% over the past year, as of July 5, 2024.
- Coinbase announced strong first-quarter results.
- A major contract has been signed with the US Government.
- Wall Street analysts are divided on their opinion of the stock.
- Coinbase’s future plans include driving international growth by investing in key markets.
- Show Full Guide
Summary of the Latest Coinbase Stock Predictions
| Coinbase Stock Forecast
(as of July 5, 2024) |
1-Year Forecast | 2027
(Jan 2027) |
5-Year Forecast
(June 2029) |
| MarketBeat | $215.50 | – | – |
| WalletInvestor | $404.84 | $712.00 | $1,128.74 |
| TipRanks | $248.89 | – | – |
| CoinCodex | $362.78
(Jan 2025) |
$943.66 | $3,958.77
(Jan 2030) |
Let’s kick off our Coinbase stock forecast with a look at the performance of the company’s share price over the past year.
There’s no denying that the last 12 months have been pretty lucrative for Coinbase investors who have watched the COIN stock price soar by 181%.
However, the headline numbers don’t tell the full story because it’s been a pretty volatile ride.
COIN went from trading at $78.10 last summer to $186.36 by the end of 2023 before dipping to around $117 in February 2024.
Positive fourth-quarter results helped lift it to $279.71 in late March. Since then, the price has fluctuated. As the market closed on July 3, 2024, it stood at $224.94.
Of course, investors that have been involved with the company since it went public in April 2021 are fully aware that owning this stock can be a challenging journey.
The all-time high stock closing price was $357.39 on November 9, 2021, according to Macrotrends, while the average for the last 52 weeks is $152.16.
Currently, Coinbase is the fourth largest stock and crypto exchange in the world by virtue of its $55.23bn market capitalization.
The Latest Coinbase News & Key Drivers to Consider
Here we take a look at the latest Coinbase news that could affect its share price over the coming months.
US Government Contract Signed
In early July 2024, Coinbase announced it had signed a deal with the Justice Department’s US Marshals Service that was said to be worth $32.5 million.
The company revealed it had been selected to provide “custody and advanced trading services” for the agency’s digital assets.
In a blog post, Coinbase said it had been chosen due to its “strong track record” and ability to securely provide institutional-grade crypto services at scale.
??As of March 31, 2024, Coinbase safeguarded $330 billion of assets. During the first quarter of 2024, it recorded $256 billion in institutional trading volume.
Strong First Quarter Results
In early May 2024, the company revealed it had generated $1.6 billion of total revenue and $1.2 billion of net income in the first quarter of 2024.
It also said the adjusted EBITDA (earnings before interest, tax, depreciation and amortization) was $1 billion. This was more than it had generated in the whole of 2023.
In a statement, it declared: “Our financial performance in Q1 reflects our focused execution on product expansion, ongoing operational discipline, and strong crypto market conditions.”
Coinbase Q1 Revenue ($M)
| Transaction Revenue | Q1’23 | Q2’23 | Q3’23 | Q4’23 | Q1’24 |
| Consumer, net | 329.2 | 289.0 | 247.0 | 468.9 | 935.2 |
| Institutional, net | 22.3 | 17.1 | 14.1 | 36.7 | 85.4 |
| Other transaction revenue | 23.3 | 21.1 | 27.5 | 23.6 | 56.1 |
| Total transaction revenue | 374.7 | 327.1 | 288.6 | 529.3 | 1,076.7 |
Source: Coinbase
A Successful 2023
The results for the first quarter of this year follow a positive 2023 in which Coinbase generated a net income of $95 million and positive EBITDA in all four quarters.
In a shareholder letter, the company said that its “operational rigor” had paid off.
“We achieved our financial goal, launched new innovative products, strengthened our competitive position, and doubled down on our efforts to create momentum for a workable regulatory framework for crypto in the US,” it stated.
Company Priorities
In a recent shareholder letter, Brian Armstrong, the co-founder and chief executive of Coinbase, reiterated the company’s 2024 priorities.
Coinbase Stock Forecast: Analyst Views
The next stage of our Coinbase share price forecast looks at the opinions of analysts and what they’re expecting from the company over the next few years.
Susannah Streeter, head of money and markets at Hargreaves Lansdown, has some reservations when it comes to the stock.
She told Techopedia:
“It’s been a volatile ride for investors who bought shares in Coinbase since its direct public offering, which is hardly surprising given the gyrations of the whole crypto market.”
That’s why she advises a degree of caution.
“Investors should be wary of trying to catch a ride on companies linked to crypto solely on moments of momentum, particularly given the highly tempestuous journey that crypto has been on,” she said. “Although it seems increasingly clear that cryptocurrencies are here to stay, globally, it’s still far from clear what the regulatory landscape will look like.”
Michael Miller, an equity analyst at Morningstar, acknowledged in his latest Coinbase stock forecast that the company had reported “very strong” first-quarter earnings.
However, he also sounded a note of caution.
“While these were unquestionably strong results, much of it was driven by surging cryptocurrency prices, which are inherently volatile, and we caution against extrapolating too much from current growth rates,” he said.
Miller noted that retail trading income, Coinbase’s largest source of revenue, increased to $935 million from $469 million in the last quarter.
“Growth was driven by stable average pricing and a surge in retail trading volume, which increased 167% from last year and 93% sequentially,” he said.
Miller, who has had a fair value Coinbase price target of $130 in place since March 15, 2024, highlighted some positives while adding in a caveat.
“The firm’s efforts to control expenses and diversify its revenue sources have seen success and have placed it in a stronger long-term position,” he said. “As we incorporate these results, we do not plan to materially alter our $130 fair value estimate for Coinbase. We see the shares as overvalued at the current price.”
Coinbase Stock Predictions for 2024, 2025 & 2030: Where Will COIN Price Go Next?
So, is Coinbase a buy, hold, or sell? Well, Wall Street analysts appear divided when it comes to their expectations for COIN as of July 5, 2024.
The stock is rated as a ‘hold’, based on the views of 20 Wall Street analysts compiled by MarketBeat. Nine see it as a ‘buy,’ nine as a ‘hold,’ and two as a ‘sell.’
Their consensus Coinbase stock forecast 2025 is for the price to fall 4.20% to $215.50 over the coming year, although there is a significant discrepancy between the predictions.
While the highest forecast suggested the stock price could hit $320, the lowest warned it may fall to just $80. This is 64% lower than its closing price of $224.94 on July 3, 2024.
Meanwhile, TipRanks rates the stock a ‘moderate buy’ based on the views of 21 analysts. Ten recommend it as a ‘hold’ and nine as a ‘buy,’ while two have ‘sell’ recommendations.
Their price predictions range from $145 to $325, with the consensus being that it will rise 10.65% to $248.89 over the next 12 months.
The following table shows the latest analysts’ Coinbase stock predictions for the next year.
| Date | Analyst Firm | Action | Rating Change | Price Target | Percentage Change |
| 6/18/2024 | HC Wainwright | Reiterated Rating | Buy ? Buy | $315.00 ?
$315.00 |
+28.52% |
| 6/5/2024 | Needham & Company | Reiterated Rating | Buy ? Buy | $260.00?
$260.00 |
+6.47% |
| 5/17/2024 | Bank of America | Upgrade | Underperform ? Neutral | $110.00?
$217.00 |
+8.95% |
| 5/8/2024 | Singular Research | Reiterated Rating | Buy | ||
| 5/6/2024 | Barclays | Boost Target | Underweight ? Underweight | $179.00 ? $204.00 | -11.10% |
| 5/3/2024 | JMP Securities | Reiterated Rating | Market outperform ? Market outperform | $320.00 | +43.34% |
| 5/3/2024 | Wedbush | Boost Target | Outperform ? Outperform | $200.00 ? $250.00 | +12.425% |
| 5/3/2024 | Oppenheimer | Boost Target | Outperform ? Outperform | $276.00 ? $282.00 | +23.25% |
Source: MarketBeat
Meanwhile, the algorithmic forecasts of WalletInvestor, has the Coinbase stock price hitting $404.84 over the coming year. That would represent an increase of 79%.
Its 5-year Coinbase stock forecast suggests the COIN price might climb higher to $1,128.74 in 2029.
The unpredictable nature of stock price movements, particularly in an area such as cryptocurrency, means most analysts are unwilling to give a Coinbase stock forecast for 2030.
Note that analysts’ and algorithm-based projections might prove to be wrong.
The Bottom Line: Should I Invest in Coinbase?
The Coinbase stock price is trading at a significantly higher level than it was a year ago, but investors must accept volatility in exchange for owning its shares.
Its future prospects will largely depend on the popularity of cryptocurrency trading, as well as how successful management is in implementing growth plans.
Even experienced Wall Street analysts are divided. While some see it as a ‘buy’ whose share price can rise substantially, others urge caution as they fear the stock price is set to fall.
Do your own research and always remember your investment decision depends on your attitude to risk, your expertise in the stock market, the spread of your portfolio, and how comfortable you feel about losing money.
The information in this article does not constitute investment advice and is meant for informational purposes only.
FAQ
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References
- Coinbase Global – 3 Year Stock Price History | COIN | MacroTrends?(Macrotrends)
- Largest stock and crypto exchanges by Market Cap?(Companiesmarketcap)
- U.S. Marshals Service chooses Coinbase to safeguard, trade its large cap digital assets portfolio?(Coinbase)
- Coinbase lands $32.5 million U.S. government crypto contract?(Finance.yahoo)
- Shareholder-Letter-Q1-2024?(S27.q4cdn)
- Q1’24 Earnings Call Transcript?(S27.q4cdn)
- Coinbase Global (COIN) Stock Forecast and Price Target 2024?(Marketbeat)
- Coinbase Global (COIN) Stock Forecast, Price Targets and Analysts Predictions – TipRanks.com?(Tipranks)
- Coinbase Global Inc – Ordinary Shares – Class A Stock Forecast, “COIN” Share Price Prediction Charts?(Walletinvestor)
