Coinbase’s Stock Price and the Correlation with Bitcoin’s Price
9 months ago, Coinbase, one of the largest crypto exchanges in the world, decided to enter the NASDAQ index, with $342 / stock. Since them, the stock price has dropped to $187, a 45 % correction.
This correction is correlated with Bitcoin’s price as when Bitcoin reached its all-time high level at $69,000, Coinbase’s price reached its peak again at $340. In parallel, the fall in the Bitcoin price was 50 % and it moves parallel with Coinbase’s drop in similar levels.
Knowing that crypto markets are highly cyclical, Fed’s position will show us that we are in the end of an economic cycle, a fact that will hurt the stock market in the next period.
We wait to see the chances from this market situation……