Source: Adobe / piter2121
Shares of the crypto exchange Coinbase with the ticker COIN are surging in the stock market, currently trading at $128.27, the highest level seen in 2023.
The current stock price surpasses the previous peak of $110.15 from July and aligns with price levels from May 2022 when spot Bitcoin last traded at levels above $30,000.
COIN stock price. Source: Google
Although still below the all-time high of $342.98 in November 2021, Coinbase’s recent performance is noteworthy.
The surge follows comments by Coinbase CEO Brian Armstrong from earlier this week saying the settlement imposed on Binance by the US Department of Justice marks a turning point for crypto.
“The enforcement action against Binance, that’s allowing us to kind of turn the page on that and hopefully close that chapter of history,” Armstrong said.
New bullish phase for crypto?
Meanwhile, the rise in the stock price also comes amid a broader bullish trend for the crypto market.
In the past month, COIN, has outperformed major assets like Bitcoin and Ethereum, gaining more than 70%.
Already, COIN’s outperformance of spot crypto prices has given Cathie Wood’s Ark Invest to rebalance the holdings for its exchange-traded funds (ETFs) focused on Bitcoin and crypto.
Ark recently sold $5.3 million worth of Coinbase shares while acquiring about $1.2 million in Robinhood shares.
Following the sale, Coinbase and Robinhood constitute 13% and 4%, respectively, of the ARK Fintech Innovation ETF portfolio.
Not surprisingly, Coinbase’s stock performance has often mirrored the overall volatility in the crypto market.
When crypto prices rise, COIN tends to benefit, and when prices decline, its shares follow suit, and investors are therefore paying close attention now that COIN appears to outperform the major crypto assets.Top of FormBottom of Form
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