Coinbase Stock Forecast: COIN Hits 52-Week High as Bitcoin Rally and ‘Crypto Week’ Fuel Investor Optimism
Our Coinbase stock forecast breaks down why COIN hit a new high amid a Bitcoin surge, its Deribit acquisition, and shifting U.S. crypto policy.
Riding a tidal wave of crypto exuberance and favorable political winds from Washington, Coinbase Global (COIN) stock surged to a fresh 52-week high of $415.96 on July 17. The rally positions the crypto exchange giant for a potentially explosive performance as market momentum and regulatory clarity appear to be aligning. This ascent is closely tied to the spectacular performance of Bitcoin (BTCUSD), which has dominated financial headlines.
The Perfect Storm: Bitcoin Boom Meets Political Tailwinds
The digital asset ecosystem is experiencing a remarkable surge. Bitcoin soared above $122,000 on July 14, more than doubling in value annually and signaling a powerful bull market. This explosive growth reflects a broader shift in the financial and political landscape, creating a fertile ground for crypto-focused companies like Coinbase Global (COIN).
Adding fuel to the fire is a pivotal moment in Washington, D.C., being dubbed “Crypto Week.” The U.S. House of Representatives is currently preparing to debate landmark legislation aimed at establishing the United States as a global hub for crypto innovation. This pro-crypto legislative push has already bolstered market confidence.
Investor appetite is undeniable. In the week preceding July 14, U.S.-listed Bitcoin exchange-traded funds (ETFs) attracted more than $2.7 billion in inflows, marking one of the strongest periods since their 2024 launch. According to one industry analyst, an expanding fiscal stance and loosening monetary policy have laid the groundwork for sustained crypto growth.
Coinbase Rides the Wave to New Highs
As the largest cryptocurrency exchange in the U.S., Coinbase is a primary beneficiary of this market frenzy. With a market capitalization of $101 billion, the company serves as a critical gateway for both retail and institutional investors entering the crypto economy.
The company’s stock performance tells a story of incredible momentum. Over the last three months, COIN stock has leaped an impressive 135%, building on a 65% gain over the past 52 weeks. In the last five trading days alone, the stock climbed nearly 6%, directly benefiting from the ongoing Bitcoin (BTCUSD) rally.
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This performance has pushed Coinbase’s valuation to a significant premium, trading at 79 times forward adjusted earnings and 15 times sales. These figures, while above industry norms, are supported by the company’s strong operational results and reflect deep market confidence in its leadership position.
A Look Under the Hood: Q1 Financials
On May 8, Coinbase reported its first-quarter 2025 results, revealing a 24% year-over-year revenue increase to $2.03 billion. However, this fell just shy of Wall Street’s $2.11 billion projection. The growth was driven by a surge in trading activity:
- Transaction Revenue: Climbed 17.2% to $1.3 billion.
- Consumer Trading Volume: Surged 39% to $78 billion.
- Institutional Trading Volume: Rose 23% to $315 billion.
- Subscription and Services Revenue: Grew nearly 37% to $698.1 million, bolstered by interest in stablecoins and its Coinbase One subscription.
Despite these gains, rising costs and a 23% year-over-year drop in adjusted EPS to $1.94 tempered some of the excitement. The company ended the quarter with a healthy $8.1 billion in cash and equivalents.
Strategic Pivot: The Deribit Acquisition
While facing some headwinds, Coinbase made a transformative move with its recent $2.9 billion acquisition of Deribit, a leading crypto options exchange. The acquisition instantly repositions Coinbase as a dominant force in the global crypto derivatives market.
Deribit commanded over $30 billion in open interest and managed more than $1 trillion in non-U.S. trading volume in 2024. This strategic purchase dramatically expands Coinbase’s capabilities and revenue streams beyond simple trading.
Wall Street’s Verdict: What’s Next for COIN Stock?
Looking ahead, Coinbase projects second-quarter subscription and services revenue to fall between $600 million and $680 million. Analysts forecast a near-term dip in profitability, with full-year 2025 EPS expected to decline 35% to $4.90. However, a strong rebound is anticipated for the next fiscal year, with projections showing a 26% EPS increase to $6.18.
Wall Street sentiment remains largely positive, with a “Moderate Buy” consensus rating among 30 covering analysts. Of those, 13 rate the stock a “Strong Buy” versus only two who advise a “Strong Sell.”
Price targets reflect a mix of optimism and caution.
- An Oppenheimer analyst set a $395 price target.
- An analyst at JMP Securities offered a $400 target.
- A Benchmark analyst sees further upside with a $421 target.
Despite these bullish calls, the average price target of $309.16 sits well below the stock’s current trading level. However, some see significantly more room to run. Analysts at Bernstein hold a Street-high target of $510, implying a potential 24% upside from current levels. In their view, Coinbase is “the most misunderstood company” in the crypto space, suggesting its true potential is still not fully appreciated by the market.
