Coinbase Stock Jumps As Goldman Sachs Doubles Price Target Amid Crypto Optimism: Retail Remains Cautious

Shares of Coinbase jumped more than 2% as markets opened on Monday after Goldman Sachs more than doubled its price target on the stock while maintaining a ‘Neutral’ rating. 

The brokerage now forecasts the stock could reach $397, up from its previous target of $183.

Goldman Sachs analyst Will Nance highlighted that payment technology stocks, especially high-beta growth names, have gained 18% on average since the election, driven by pro-cyclical exposure. 

The brokerage views fintech as a potential winner in a stronger economy and inflationary environment bolstered by anticipated policy shifts under the new administration.

The bullish take comes after Coinbase's chief policy officer, Faryar Shirzad, told CNBC he sees crypto legislation passing Congress “fairly quickly” after President-elect Donald Trump enters the White House in January.

Shirzad also pointed to the governing trifecta, with Republics gaining control of both the House of Representatives and the Senate, making the process of approving crypto laws smoother in the future.

Coinbase Sentiment and Message Volume on Dec 2 as of 9:15 a.m. ET | Source: Stocktwits

Retail sentiment around the stock has improved to ‘neutral’ (53/100) from ‘bearish’ (40/100) a day ago, while message volume remains ‘low’ following the Thanksgiving weekend. 

Other analysts have echoed similar optimism surrounding the sector, citing a surge in crypto sentiment and momentum following Trump’s victory in the 2024 U.S. Election and a Republican-majority Congress. 

Oppenheimer, for instance, raised its price target for Coinbase to $358 from $265 last week, maintaining an ‘Outperform’ rating, banking on the incoming administration's pro-crypto stance, including Treasury Secretary nominee Scott Bessent and SEC Chair appointee, to shift regulatory dynamics significantly. 

Trump is reportedly considering creating a position in the White House to oversee crypto policy decisions. This would benefit companies and exchanges that allow crypto trade, such as Coinbase and Robinhood ($HOOD). 

Coinbase’s stock has surged nearly 91% year-to-date, almost doubling in value as it rides the wave of renewed optimism in the cryptocurrency market.

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