Join Our Telegram channel to stay up to date on breaking news coverage
Citi has upgraded its Coinbase stock rating from “neutral” to “buy” on an improving regulatory outlook in the US and raised its price target by almost 33% to $345.
Citi attributed the higher stock rating to a shift in the US election landscape as presidential candidates compete to win the crypto vote, and after the US Supreme Court overturned the so-called Chevron precedent.
The stock rose 1.6% in pre-market trading to change hands for $259.29 as of 9:20 a.m. EST. Citi’s previous price target for COIN was $260.
$COIN upgraded to BUY at CITI
"Shifts in the U.S. Election landscape and the Supreme Court’s overturning of the long-standing Chevron precedent has changed our view on Coinbase’s regulatory risks."
Raises target price 33% to $345 pic.twitter.com/CoMbCTFbK8
— matthew sigel, recovering CFA (@matthew_sigel) July 23, 2024
Former US President Donald Trump, who vows to become ”crypto president” if he retakes the White House, is set to speak at the Bitcoin 2024 Conference this week, where he is expected to reaffirm his support for the crypto industry.
Democratic Party presidential contender Kamala Harris is also in talks to attend the conference.
Citi believes Coinbase, the largest crypto exchange in the US, is poised to benefit from a friendlier crypto regulatory framework after the November elections.
Besides the “potential US crypto catchup,” COIN stock could also rally on higher on-chain activity and liquidity.
Chevron Ruling Adds Weight to Coinbase Legal Defense
Citi also said that Coinbase was better positioned to defend against a lawsuit filed by the US Securities and Exchange Commission (SEC) after the Supreme Court overturned the Chevron precedent.
Last month’s Supreme Court ruling limited the powers of federal regulators like the SEC. Overturning Chevron strips the SEC’s authority to regulate through enforcement, a practice largely seen in the crypto industry, it said.
The SEC sued Coinbase last year, and in its defense the exchange has argued that the regulator was overstepping its authority.
Also Read:
- Pepe Price Prediction: PEPE Soars 12% In A Month, But Experts Say This Layer-2 Derivative Might Be The Best Crypto To Buy Now
- Dogecoin Price Prediction: DOGE Dives 4% As Investors Flock To This Play-To-Earn Meme Coin With 10X Potential
- Ethereum Price Prediction: Spot ETH ETFs Debut With $107 Million Net Inflows As BlackRock Leads, And This Base Meme Coin Races Towards $3 Million
Best Wallet - Diversify Your Crypto Portfolio
- Easy to Use, Feature-Driven Crypto Wallet
- Get Early Access to Upcoming Token ICOs
- Multi-Chain, Multi-Wallet, Non-Custodial
- Now On App Store, Google Play
- Stake To Earn Native Token $BEST
- 250,000+ Monthly Active Users
Join Our Telegram channel to stay up to date on breaking news coverage
