Coinbase posts third straight quarterly loss as analysts cut price targets
Bitcoin briefly slipped below $63,000 on OKX as Coinbase's revenue miss, Senate delays to the Clarity Act and disappointing results from Strategy Inc. weighed on crypto sentiment.
Coinbase Global reported a third consecutive quarterly loss for the quarter ended June 30, posting a net loss of $359.5 million, or $1.36 per share, on revenue of $1.22 billion, both below analyst expectations. The weak results sent shares lower and prompted Wall Street firms including Benchmark, Needham, Rosenblatt, Baird and JPMorgan to cut price targets, though several analysts maintained constructive ratings based on Coinbase's record trading share, stronger USDC balances and growth in Base and other non-trading businesses. By July 31, the weaker earnings backdrop was feeding into a broader crypto selloff, with Bitcoin briefly trading below $63,000 on OKX and last quoted at $62,999.30, as investors also weighed renewed Senate obstacles for the Clarity Act and disappointing results from Strategy Inc.
- Clarity Act: A proposed U.S. bill intended to define how digital assets are regulated, including jurisdictional lines between the SEC and CFTC.
- stablecoin: A digital token designed to maintain a stable value, often by being pegged to a fiat currency.
- Ethereum Layer 2: A scaling network built on Ethereum to increase speed and reduce transaction costs.