Coinbase wants to be a significant player in the long run. All over in crypto trading, warns autonomous research analyst Christian Bolu.
Coinbase is rapidly losing market share, according to analyst Christian Bolu. Analysts predict that this process will accelerate even more as competition intensifies. According to him, Coinbase lags behind almost all crypto innovations. If the trend continues, it may quickly lose relevance.
Shares of Coinbase fell nearly $1 to $248.30 on Wednesday. Shares of the company have fallen by about 24% in the last six months, despite the recent rise in prices for Bitcoin and other cryptocurrencies.
According to Bolu, after a significant increase in consumer spending in 2020/21, analysts expect that monetization will primarily drive future revenue growth. This could triple Robin Hood’s average revenue per customer over the next 3-5 years.
Coinbase is a leading US cryptocurrency exchange that allows users to trade and invest. The fully licensed company was founded in 2012. Initially, Coinbase only allowed Bitcoin to be changed. However, other cryptocurrencies were added soon.
The cryptocurrency exchange mentioned this week that it plans to trade NFTs. Sales of such signs have increased, especially this year. The NFT market eclipsed $10 billion in trading total in the third quarter of 2021.
As for the latest stock market approach, analysts at this point suggest that Coinbase is trying to gain dominance. However, the direction it is taking is a bit questionable and confusing.
Is it worth risking Coinbase? Falling stocks are a pretty big blow to any stock market. Given that cryptocurrency prices have risen, this should usually create more positive dynamics.
Coinbase risks will certainly be justified; however, if the processes continue like this, stock exchanges may fall further.
Does the company’s strategy have anything in common with the newly added NFTs? We will find out soon.