If you are planning to invest in Coinbase stock and looking for, ‘Is Coinbase a buy or sell stock?, you are at the right place. Although we can’t provide you with specific advice or instructions, we can help you by providing general information regarding Coinbase stock and other things related to it.
When you read and know this information, it will help you make a prudent decision.
Coinbase is a cryptocurrency exchange platform. It allows users to sell and buy digital currencies like Ethereum and Bitcoin. Although the stock price of Coinbase is frequently changing, it has generally moved upward over the past few years.
However, there are some risks and other factors you must take into account before investing in Coinbase. As a matter of fact, the crypto market is relatively unregulated and new, making it prone to crashes. Moreover, Coinbase is having more and more competition from other crypto exchanges.
In a nutshell, there is not any direct answer to ‘Is Coinbase a buy right now?’ It’s because there are many factors that must be taken into consideration like your financial condition and risk tolerance.
Is Coinbase a Good Stock to Buy Right Now?
On January 5, 2024, Coinbase stock fell down nearly 1% for a sharp weekly loss. COIN stock keeps holding above its 113.43 buy point in a cup base. Shares traded nearly 154 a share Friday.
As per Coinbase, the bitcoin price fell almost 1% Friday, trading nearly $43,000.
So, it’s wise to buy COIN Stock right now due to far extension from its previous buy point after huge profits in recent months. So, wait for the stock to make a new base before you purchase shares.
Coinbase 5-year Forecast?
As per the latest long-term forecast, Coinbase price will reach $400 by the end of 2024. After that, it will reach $500 by 2025. Thereafter, within the year 2026, Coinbase will reach $600, $700 in 2027, $800 in 2028, $900 in 2029, $1000 in 2030, $1100 in 2031, $1200 in 2033, and $1300 in 2035.
Coinbase Stock Price Prediction 2025?
The latest outflow of the client funds from Coinbase and other platforms, which happened due to FTX collapse, affected the stock price. As far as the Bitcoin cap is low, the price of Coinbase seems to fall. As per analysts, the Coinbase long-term price forecast may be $257.73 by 2025.
Is Coinbase Worth Buying?
If you want to buy Coinbase, then you must take into account factors like your investment goals, risk tolerance, and the evaluation of the company’s prospects.
Let’s take a look at the factors in detail to help you decide:
- Industry Outlook:
The cryptocurrency market changes suddenly. However, it has a major growth potential. The overall health of the crypto market can affect Coinbase fortunes.
The stock of Coinbase has fallen badly from its IP highs. However, according to traditional valuation metrics, it’s not regarded as a cheap stock.
- Financial Performance:
The revenue of Coinbase mainly depends on trading volume, which has been going down due to the latest market downturns. In fact, profitability has been negatively affected, but the company holds a robust balance sheet and cash reserves for survival.
Extreme competition comes up before Coinbase to face. This competition comes from other centralized and decentralized exchanges and those financial instructions that make their way into the crypto space.
The regulatory atmosphere for cryptocurrencies is not certain, which may lay implications upon its business model.
Other points to consider:
Risk tolerance: Coinbase stock is prone to face changes. So, if you are able to take high risk, then you can buy it.
Diversification: If you trust crypto so much, think about investing in diversified crypto assets instead of a single company like Coinbase.
Having taken all these points into account, whether you should buy Coinbase stock or not is dependent on you. However, pay heed to your risk tolerance ability and goals and conduct thorough research for a wise decision.
How to Buy Coinbase Stock?
The following are the 5 steps you need to take before buying Coinbase stock:
- Find a reliable brokerage friend:
You are required to have an online brokerage account and a reliable fellow to help you in buying stocks. Consider it someone who can buy stocks on behalf of you. So, go through popular options like Charles Schwab, Fidelity, Robinhood, and the like.
- Make a Budget:
You must be clear about how much you can invest buying Coinbase stock. In fact, you’d better take advice from those who can guide you best about this.
- Conduct Research:
Spend some time in conducting research to know well about Coinbase business, financial performance and probable risks that may bring loss to you. Keep in mind, the more you know, the wiser decision you can make.
When you have a crystal-clear about everything you have done, sign in to your brokerage account and place an order to buy Coinbase stock.
- Become a shareholder:
When you have placed your order and bought stock, you have become a part-owner of Coinbase. Now, you can taste the thrill of stock ownership.
‘Is Coinbase a buy or sell stock?’ can’t be answered. It’s because Coinbase is heavily dependent on cryptocurrency, which is volatile. However, it generally has shown some growth. Aside from that, the financial capacity and competition from other exchanges can also affect its price. So, conduct your research properly and make a wise decision according to facts and figures.