Coinbase Global Inc (NASDAQ: COIN) shares fell nearly 8% to $141.65 on Thursday (February 12), as investor sentiment remains cautious ahead of the company’s fourth-quarter earnings report.
Historical trends show Coinbase stock often experiences volatility post-earnings, with six out of the last eight reports resulting in declines the following day, though the stock has averaged a 7.9% gain across those sessions.
Platform issues and reassurance
The exchange also faced operational disruptions on Thursday, with users reporting difficulties buying, selling, and transferring cryptocurrency on Coinbase’s website.
The company reassured customers on social media, stating, “Your funds are safe,” and later confirmed the technical issues had been resolved.
Downgrades
Adding to investor concerns, Monness, Crespi, Hardt & Co. Downgraded Coinbase to sell, citing overly optimistic assumptions about a crypto market recovery. The brokerage slashed its price target by 68% to a street-low $120 and revised down revenue and earnings projections through 2027. This downgrade follows at least five other February price target reductions from Wall Street analysts, with Coinbase shares down nearly 40% year-to-date.
Bitcoin pressure weighs on Coinbase
The cryptocurrency market continues to create headwinds for Coinbase. Bitcoin fell as much as 2.5% on Thursday to $65,427, down 23.5% for the year and more than 45% from its October peak near $126,000. According to Alex Kuptsikevich, chief market analyst at FxPro Group, a trading range between $60,000 and $70,000 is likely over the coming weeks as speculative demand declines. The broader crypto market has lost nearly $2 trillion in value during the same period.
CEO share sales fuel volatility
Adding to market discomfort, Coinbase CEO Brian Armstrong liquidated over 1.5 million shares between April 2025 and January 2026. Shares fell 5.7% on Wednesday to close at $153.20, down from $162.52 the previous day. COIN’s stock has traded as high as $262 this year and remains within a 52-week range of roughly $142 to $444.
After a turbulent year for crypto and a 44% decline in its stock over the past month, investors are closely watching Coinbase’s ability to maintain profitability.
The upcoming earnings report will be a key indicator of whether the company can navigate a difficult crypto market and sustain its transaction revenue amid ongoing volatility.
