Shares in crypto exchange Coinbase Global Inc. (COIN) ended Thursday’s trading session at a new all-time closing high, but analysts are divided on if the rally will continue.
“Going vertical now,” Real Vision CEO Raoul Pal said in a post on Thursday in response to Coinbase’s record close.
“Next step, crypto,” Pal said, adding, “the liquidity spigot is wide, wide open.”
Coinbase breaks closing high it tapped almost four years ago
The Nasdaq-listed Coinbase closed trading on Thursday at $369.21, up 3.89% over the day and up almost 40% on the month, according to Google Finance.
The gains are a 3.3% increase from its previous closing high of $357.39, which it reached in November 2021.
On Tuesday, Coinbase was the best-performing S&P 500 stock for the day, posting a 12.10% gain. It comes only a month after it was listed as the first-ever crypto firm to join the S&P 500 on May 19.
Many attribute Coinbase’s recent rise to US lawmakers supporting clearer stablecoin regulation by moving the GENIUS Act forward in the House on June 17.
Coinbase co-created the USDC (USDC) stablecoin with the newly-listed Circle Internet Group (CRCL) in 2018 and receives 50% of its revenue.
Analysts divided on continued Coinbase rally
Analysts are split on whether the rally can continue. Investment adviser Andy Heilman posted to X on Thursday that while Coinbase has had a solid run, it may be bracing for a correction.
“Weekly view on $COIN looks very bullish, even if it is due for a pullback,” he added.
He noted a bullish technical setup signaling a potential surge to “possible four-digit prices.”
Crypto analyst Cantonese Cat said the daily Bollinger Band — a volatility indicator utilizing price bands; traders buy near the lower band and sell near the upper band — is expanding and “looking like it just wants to keep going up for now.”
However, crypto analyst Chad interpreted the same chart differently, saying that Coinbase “might be ripe for a cooldown soon with price overextended above the upper Bollinger Band.”
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Some early investors in the stock were quick to point out that they’ve finally returned to break even.
“After buying Coinbase on day 1, I am finally back to the price I paid, 4 years later,” crypto commentator Whoisdat said.
Coinbase debuted on the Nasdaq on April 14, 2021, opening at $381 per share but slipping 14% during the session to close at $328.28.
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