thecoinrepublic.com
The cryptocurrency community is by now well acquainted with a couple of bitcoin (BTC) futures ETFs that went live this past week. This caused the crypto hype train to chug faster than before, not to mention that it also resulted in recent bullish calls on the popular cryptocurrency platform – Coinbase Global (COIN).
Stocks of the said crypto brokerage giant have been performing pretty well for weeks now as it surged alongside bitcoin as the platform kept its fingers crossed that the king token would be included in exchange-traded funds. Such hopes came into reality thanks to Valkyrie Bitcoin Strategy ETF (BTF) and ProShares Bitcoin Strategy ETF (BITO) that were introduced last week.
Spotlight’s on Coinbase
With that in mind, Coinbase is getting commended by crypto pundits out there as they see the crypto exchange platform reaping the benefits from leaning towards BTC as it goes through payments, brokerage accounts, and even card services that most Americans utlize.
The global investment financial institution that is Citi has recently set up coverage of Coinbase’s stock on Tuesday alongside a Buy rating and a $415 target. Citi Analyst Peter Christiansen commented that they are seeing the stock poised at reaching what he calls “higher highs and higher lows” which is according to him “relative to crypto volatility as adoption increases.”
Additionally, Christiansen highlighted that Coinbase’s stock is offering its investors direct exposure to more retail and “institutional adoption of cryptocurrencies.”
Further, Citi is noticing the platform as the firm is continuing its efforts in the expansion of its operations – going beyond their usual penchant of cryptocurrency exchange and into other crypto-related fields like cold wallet storage and even nonfungible tokens.
Coinbase is investable
Now, on that NFT part, Coinbase has amassed over a million applications for its NFT platform in just one day after it was made known on October 13. The Citi analyst even went on to recommend Coinbase as he explained that due to the platform’s position within the “crypto value chain,” its networking-based business structure and strategy, and the massive opportunity set, the company is very much investable according to him.
Christiansen even deems the so-called “lean-forward approach to regulatory compliance” move of the platform as a competitive advantage.
He said that to an extent, they believe that increasing regulations may well seem to be a plus for Coinbase’s competitive positioning, specifically against business structures that are mainly reliant on unregulated markets.