Political trends favor cryptocurrencies, seen as 'significant catalyst' for Coinbase

Analysts at JMP Securities believe that the political trend for digital assets appears to be shifting, and if this trend continues, it will be an important catalyst for Coinbase (NASDAQ: ) and other assets.

In a note to clients on Wednesday, the investment firm reiterated its market perform rating and $320 price target on Coinbase shares, reflecting an EV/revenue multiple of approximately 11x JMP's 2025 revenue estimates.

“There have been several noteworthy events surrounding the digital asset industry over the past week, which we estimate may create further catalysts for the broader space and our coverage, potentially adding to Coinbase’s positive momentum and, in smaller cases, Adding to positive momentum for Robinhood (NASDAQ: NASDAQ ).

They cautioned that it's not entirely clear the extent of the tectonic shift in the political winds, although the company noted that bipartisanship was clearly closer as the SAB 121 repeal resolution passed the House and Senate last week.

Analysts also highlighted other developments in recent days, including “a clear shift in SEC approval of spot ETH.”

At the very least, analysts believe these developments alone have positive implications, and if the tide does turn politically, they see the impact on the industry as transformative in the U.S., accelerating its entry into the mainstream and creating a springboard for exponential expansion,” JMP added.

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