Why Coinbase Stock Popped and Dropped Today
Shares of cryptocurrency trading platform Coinbase Global (NASDAQ: COIN) popped in early trading today before ultimately succumbing to the downward pressure of the broader stock market. As of 3:15 p.m. ET, Coinbase stock was down 4%.
Coinbase stock had initially popped this morning, likely because of strength in the cryptocurrency market. For example, Bitcoin surged yesterday, as did many other cryptocurrencies. The majority of the company's revenues come from fees associated with trading cryptocurrencies. Therefore, it's easy to understand why retail investors get excited about Coinbase stock when cryptocurrencies are rising in value.
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Source Fool.com
