The Nasdaq-listed bitcoin exchange Coinbase is set to report trading-volume growth of 18% and revenue growth of 11% for the third quarter, according to Oppenheimer analysts, as reported by CoinDesk.
“In the context of events that drove volatility, trading volume increased significantly in late August–September”, the analysts explained.
Oppenheimer noted that in September Coinbase shares fell 12.2% versus a 4.8% drop for the S&P 500 index.
They linked the weak performance to the intensification of regulatory pressure, the decline in Bitcoin’s price, the rising debt burden, the decision not to launch crypto-savings accounts after concerns from the SEC and risks associatedwith the Evergrande situation.
The target price for Coinbase’s shares by Oppenheimer is $444, with a Buy rating. It implies a rise of 73.6% from the October 6 close of $250.38.
Earlier in September, the bitcoin exchange filed an application to register as a futures intermediary.
Subsequently, Coinbase announced the launch of a service to pay salaries in cryptocurrency.
In April, Coinbase CEO Brian Armstrong allowed for the share of non-exchange business in the company’s revenues to rise to 50%.
Earlier, CoinShares’ Meltem Demirors forecast Bitcoin would reach $100,000 by the end of 2021.
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