CandleFocus

Coinbase stock has a hidden catalyst in 2025: Base blockchain

Author: Content Editor
The Coinbase stock price has fallen by almost 25% in the past three weeks due to the declining performance of Bitcoin and other altcoins like Ethereum and Ripple. Coinbase is closely correlated with the price movements of cryptocurrencies, as it holds a significant amount of Bitcoin and benefits from higher trading volumes during market surges. However, Coinbase has been losing market share to competitors in the centralized exchange industry, partly due to its reluctance to list newer tokens.

A potential catalyst for Coinbase in 2025 is the Base Blockchain, a layer-2 network launched by the company in 2023. Within a year, Base Blockchain has become the sixth-largest chain in the crypto industry and has outperformed other established layer-2 networks in terms of total value locked and volume. When Base Blockchain launches its token, it could receive a multi-billion dollar valuation, potentially boosting the Coinbase stock price.

Technically, the Coinbase stock price has dropped to $265 but remains above the 50-week Exponential Moving Average, indicating a possible rebound in January as crypto investors return from the holiday season.

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