Coinbase Global Inc (NASDAQ:COIN) shares are trading higher on Thursday as the stock trends across social media platforms. The company earlier revealed the upcoming launch of US Perpetual-Style Futures on its derivatives exchange and received a price target upgrade from Bernstein analysts.
What To Know: In a landmark move for the US market, Coinbase will introduce regulated perpetual-style futures for Bitcoin and Ether, starting July 21st.
This product, which dominates global crypto trading, has been largely unavailable to US traders. By offering a domestic, regulated alternative, Coinbase aims to capture a significant market currently utilizing offshore exchanges.
This news came alongside an optimistic report from Bernstein, which raised its price target on Coinbase stock to $510 from $310. Bernstein cited accelerating growth in the derivatives business, which this new product will feed, and strong performance in non-trading revenues like staking and its Base blockchain.
The dual announcements come after the stock traded higher earlier in the week, buoyed by a rebound in Bitcoin (CRYPTO: BTC) and improved market sentiment.
Bernstein’s new valuation and the strategic launch of a highly-demanded derivatives product solidify Coinbase’s push to become the “Amazon of crypto financial services.”
Analyst Ratings: Wall Street analysts have shown increasing conviction in Coinbase Global in June. Earlier Thursday, Oppenheimer boosted its price target to $395 from $293, maintaining its Outperform rating.
JMP Securities reiterated its Market Outperform rating with a $400 price target on the same day. Earlier in the week, on Monday, Benchmark also increased its price target to $421 from $301, keeping its Buy rating on the shares.
Price Action: COIN stock is trading higher by 5.9% to $376.41 Thursday afternoon. The stock has a 52-week high of $374.97 and a 52-week low of $142.58.
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How To Buy COIN Stock
Besides going to a brokerage platform to purchase a share – or fractional share – of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument.
For example, in Coinbase Global’s case, it is in the Financials sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.
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