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Coinbase Stock at $1,700? This Crypto Investor Thinks So
Cryptocurrency investor Will Clemente has predicted that Coinbase shares could be valued at $400 billion, implying a seven-fold gain from current levels.
Coinbase is one of the largest centralized cryptocurrency exchanges, alongside other market players such as Binance, Bybit, and Kraken.
Despite Coinbase actions (CURRENCY) recording an uptrend since January 2023, the company’s shares are more than 30% below their trading price after its initial public offering. Currently, COIN is trading at around $222 and Clement believes the stock has upside potential to $1,700 by the end of the cryptocurrency cycle.
My price target for Coinbase this cycle is $400B market cap or about $1,700/share, although I probably won’t have any more calls before then due to theta decay. Eventually, COIN will probably become a trillion dollar asset someday if they keep IMO performing.
— Will (@WClementeIII) July 5, 2024
What could support Coinbase stock price?
According to Clemente, COIN’s potential to skyrocket depends on an abrupt regulatory shift in the U.S. “Without that, $750-$1,000 seems more reasonable,” Clemente said, though the Reflective Research founder insists the change will happen on Capitol Hill.
Monetary base would be strategically positioned as the leading US cryptocurrency exchange if such an outcome were to occur. This is further supported by government sponsorship, as the US government uses the platform as its favorite digital asset brokerage service.
The company also boasts an Ethereum-based layer-2 scaling solution called Base and is the first publicly traded company to operate its own blockchain network. Given the close ties between Base, Coinbase WalletAND CircleWith USDC token and possible stablecoin policies on the horizon, the company could find itself at the center of mass cryptocurrency adoption.
What ultimately decides the swing of the pendulum depends on who sits at the table. White House in 2025, whether it’s a Democrat like current President Joe Biden, whose regime has taken a cautious approach to cryptocurrencies, or leading Republican hopeful Donald Trump, who has styled himself as the pro-crypto candidate.