Cryptocurrency Survey Points to a Weakness for Coinbase
- Date: 22-Apr-2021
- Source: CNBC
- Sector:Financial Markets
- Country:Middle East
Cryptocurrency Survey Points to a Weakness for Coinbase
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Coinbase
is the most popular cryptocurrency exchange in the U.S. by far“”a key advantage as more Americans place bets on Bitcoin and its equivalents. But there are other ways to invest that don't involve going through a crypto exchange, which could hurt Coinbase's profits in the years ahead.
Mizuho analyst
Dan Dolev
initiated coverage on the stock with a Neutral rating and a $285 price target. The stock was down 2.2% on Thursday to $305.17.
A Mizuho survey found that about 40% of Coinbase (ticker: COIN) users also trade crypto on
PayPal
(PYPL) or Square's (SQ) Cash app. "Over time, Coinbase pricing - and industry pricing in general - may face downward pressure from platforms like PayPal and Cash App,“ Dolev wrote. "This is because PayPal and