Bernstein analysts have raised their price target for Coinbase stock, forecasting a potential 69% surge to a minimum of $310. This optimistic outlook comes as the crypto exchange expands its offerings and taps into new growth opportunities. The analysts suggest that Coinbase’s strong position in the growing U.S. digital asset market could drive its stock price significantly higher in the long term.
U.S. Role in Crypto Adoption
The team, led by analyst Gautam Chhugani, believes that while competition and declining fees are often overstated concerns, Coinbase’s long-term prospects remain strong. They point to the U.S.’s increasing role in the global crypto market, which could benefit Coinbase. The analysts describe this trend as the “great American homecoming,” a concept influenced by efforts from the Trump administration to make the U.S. a leader in the crypto industry.
Coinbase’s Expanding Product Offerings
Chhugani and his team highlight Coinbase’s broadening range of services as a key growth driver. In addition to its core exchange platform, Coinbase now offers crypto staking yields, custody services, and the Ethereum Layer 2 network, Base. These offerings are expected to significantly contribute to the company’s growth, with analysts predicting a 31% compound annual growth rate (CAGR) for its non-trading revenues and 33% for its overall revenues.
Bitcoin Strategic Reserve and Digital Asset Adoption
A particularly exciting development is Coinbase’s Bitcoin Strategic Reserve, which could further boost the company’s growth. Analysts also point to the increasing adoption of digital assets by banks as another potential driver for Coinbase’s business. As a result, they predict a continued rise in demand for cryptocurrency services.
Coinbase’s Market Share and Projected Growth
As the largest crypto exchange in the U.S., Coinbase currently holds around 66% of the market, with over $400 billion in assets and 10 million active users. While Bernstein projects that Coinbase’s market share may decline slightly to 60% by 2026, they still forecast a 34% annual growth rate for its trading revenue, driven by increased adoption of digital assets.
Additionally, the analysts expect Coinbase’s non-trading revenue from services like staking and its Ethereum Layer 2 network to continue growing at an impressive pace, further strengthening the company’s financial position.
Bitcoin’s Future Price Growth
Although Bitcoin is currently 30% off its all-time high, analysts are bullish about its future. Chhugani predicts that Bitcoin could rise to $200,000 by late 2025 or early 2026, driven by institutional and government adoption. He also believes that as regulations become more favorable, real-world asset tokenization and stablecoins could generate significant new revenue streams for Coinbase.
Current Coinbase Stock Price
At the time of writing, Coinbase’s stock is priced at $180.07, reflecting a 4.56% decline in the last 24 hours and a 31.85% drop over the past month. Despite the recent downturn, Bernstein’s analysts maintain a positive outlook, citing the company’s strategic positioning and future growth potential.
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