Coinbase Stock Soars 5% on Regulatory Optimism, Eyes Record Close

In Brief:

Coinbase shares jump 5% to $375, approaching its highest-ever closing price.

Regulatory developments, including the CLARITY Act, fuel investor optimism about Coinbase's future.

Coinbase stock surged 5% to $375 on Thursday, pushing the crypto exchange closer to its highest-ever closing price of $357 from November 2021. Year-to-date, shares have climbed 50% from $256 in January, driven by excitement surrounding Circle’s IPO and the Senate's recent stablecoin legislation.

Benchmark analyst Mark Palmer highlighted the CLARITY Act as a key factor, suggesting that its potential enactment could trigger a wave of institutional adoption, benefiting Coinbase’s business. The proposed bill would clarify U.S. crypto regulation by dividing jurisdiction between the SEC and CFTC, creating opportunities for institutional growth. Additionally,

Coinbase’s European expansion and involvement with USDC are seen as further positives. Analysts predict significant price appreciation, with Bernstein setting a $510 target for the company by 2027.

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