Coinbase price target cut by 50% as post‑earnings sell‑off widens
ITF Team1 min read
Morgan Stanley slashes its price target for Coinbase by half, citing weaker trading volumes and lingering effects of the Binance hack.
Morgan Stanley has reduced its price target for Coinbase by 50% following a sharp decline in the stock after the latest earnings report. The brokerage cited a slowdown in trading activity and the ongoing fallout from the recent Binance security breach as key factors undermining the exchange’s revenue outlook.
Weaker trading volumes pressure revenue
- Daily transaction counts have fallen noticeably since the earnings release, eroding the fee base that fuels Coinbase’s earnings.
- The Binance hack, which exposed vulnerabilities in the broader crypto ecosystem, has made institutional and retail participants more cautious, further dampening order flow.
Analyst rating downgrade
- Morgan Stanley downgraded Coinbase from "overweight" to "neutral" in its latest coverage note.
- The firm highlighted that the combination of reduced trading activity and heightened security concerns could keep earnings below expectations for the near term.
What traders are watching
- Key support levels for the stock around $70 and $65 as investors gauge the depth of the sell‑off.
- Upcoming data on crypto market volumes and any further regulatory announcements that could affect exchange activity.
Related news
- S&P 500 history shows strong post‑midterm performance
- Bitcoin braces for US midterm elections amid hack fallout
- Evening market overview, 2 November 2026
- FBI attributes $6bn Binance hack to North Korea as withdrawals resume
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This article is compiled from international market news for information only. It is not investment advice.