How to buy Coinbase stocks (2024): invest in Coinbase
Are you curious about how to invest in Coinbase stocks? The stock price of Coinbase is closely related to the price of cryptocurrencies. In this article, you will read everything you need to know about investing in Coinbase shares.
If you have confidence in the future plans of Coinbase, it may be attractive to buy the stocks for the long term. However, do sufficient research first and determine whether this is the best time to invest in Coinbase stocks.
Use the buttons below to open an account with a broker & buy Coinbase stocks today:
| Brokers | Benefits | Register |
|---|---|---|
 | Buy Coinbase without commissions. Your capital is at risk. Other fees may apply. | |
 | Speculate with CFD's on increasing & decreasing prices of Coinbase! 82% of retail CFD accounts lose money. | |
 | Benefit from low fees, an innovative platform & high security! | |
 | Speculate on price increases and decreases of Coinbase with a free demo! |
What is the stock price of Coinbase?
Are you curious about the latest stock price of Coinbase? The graph below shows at what price you can buy the Coinbase share:
Company information of Coinbase
Below you can see the main company information of Coinbase.
Analysis of Coinbase
Before deciding whether to buy or sell Coinbase shares, it is important to analyse the stock properly. In the overview below, you can see how Coinbase performed over the past period.
Stock prices of the last 5 days
In the table below, you can see the stock prices of Coinbase of the last 5 days:
What will the Coinbase stock price do in 2024?
Are you curious about what analysts think Coinbase will do in 2024 and the following years? We have combined the predictions of analysts with data from Alpha Vantage. Remember that this figure is just a prediction about the stock price trend of Coinbase and that this prediction may not come true.
Why can it be smart to buy Coinbase stocks?
- Growing market: the demand for cryptocurrencies is still growing. In the short term, the price is very volatile, but the adoption is still increasing.
- Large customer base: Coinbase has a large and growing customer base.
- Strong brand: Coinbase has built a solid reputation, which gives it a competitive advantage over lesser-known cryptocurrency exchanges.
- Security: Coinbase is known for its high level of security. Customers’ cryptocurrencies are stored in cold storage, and two-factor security keeps hackers out.
- Innovation: the company regularly introduces new products. For example, Coinbase customers can receive interest over their crypto holdings.
- Revenue model: Coinbase can further expand its revenue model by enabling lending.
Risks of investing in Coinbase
Investing in Coinbase shares comes with several risks. For example, the company’s results fluctuate significantly due to the high volatility of cryptocurrencies. When people have less interest in trading cryptocurrencies (which is likely to happen when prices fall), Coinbase’s profitability will decrease.
Furthermore, according to the Coinbase prospectus, most of the revenue comes from Bitcoin and Ethereum.
Cyberattacks
Another major risk of investing in Coinbase is cyberattacks. In the past, hackers stole large amounts of crypto. When this happens, confidence in Coinbase takes a hit, causing people to switch to competitors.
Competition
This competition is also another risk of Coinbase: there are many competitors, which makes it easy for users to switch to another company. This could put pressure on Coinbase’s profit margin in the future, as competitors may lower rates to attract more customers. When this happens, Coinbase’s profitability will decrease.
Additionally, Coinbase does not have a sustainable competitive advantage. When more legitimate crypto exchanges emerge, users can easily switch to a competing exchange.
Innovation
The crypto market is constantly evolving. Coinbase must therefore constantly innovate to keep its products and services up to date. At the same time, this should not come at the expense of accessibility or security: if the company makes even a small mistake, it can significantly impact its business results.
Price war
New crypto exchanges regularly lower their transaction fees. Coinbase currently charges relatively high transaction costs. Users may decide to switch to a cheaper competitor. In the future, Coinbase may therefore be forced to lower its fees, which would worsen the company’s profitability.
Regulation
It is also important to remember that the crypto market is a relatively new market. New laws can therefore disrupt Coinbase’s results. It is essential to take all of these risks into account when considering buying Coinbase stock.
What are Coinbase’s biggest competitors?
It is difficult for a crypto exchange to distinguish itself from the competition. Ultimately, every crypto exchange offers the same crypto, making reputation very critical for Coinbase. The overview below shows the biggest competitors of Coinbase:
- Binance: the world’s largest crypto exchange. However, Binance is not regulated in many countries, which affects the exchange’s reputation.
- Kraken: a popular American crypto exchange.
- Bitstamp: a popular crypto exchange from the United Kingdom.
- eToro: a global trading platform where users can also trade in crypto.
Coinbase’s strategy for the future
New Markets
Coinbase wants to continue growing: this is also necessary if the company hopes to meet the high expectations. Coinbase aims to tap into new markets and offer local payment options. If Coinbase succeeds in attracting many users in new countries, this can give the stock price a boost.
New Cryptocurrencies
Coinbase also would like to add more diverse cryptocurrencies. There is increasing interest in so-called altcoins: this is not surprising when you consider that some coins can rise thousands of percent in a short period.
Do you think Coinbase can attract more users and increase their profitability? Then it may be interesting to buy Coinbase shares.
How to Invest in Coinbase?
Before you can invest in Coinbase, you first need an account with a stockbroker. A stockbroker makes it possible to trade popular American stocks.
At most brokers, you must first activate your account by uploading a copy of your passport and proof of your address. After these documents have been approved, you can deposit money from your bank into your stock account.
Select the Coinbase stock and choose between a market order or a limit order. With a market order, you buy Coinbase shares directly at the current price, and with a limit order, you buy the shares at a set price.
About Coinbase
Coinbase is a crypto exchange where it is possible to trade in cryptocurrencies such as Bitcoin, Ethereum, and Litecoin. The broker is based in San Francisco, but operates in more than 100 countries. In addition to regular trading in cryptocurrencies, Coinbase now also offers other services, such as Coinbase Commerce.
Coinbase was founded in 2012 and has been doing well since then. The founders, Brian Armstrong and Fred Ehrsam, decided to go public on the stock exchange NASDAQ a few years ago.
Coinbase shares can be traded through banks and stockbrokers.
The value of the shares depends on the stock market itself and what investors are willing to pay for them.
Cryptocurrencies are often bought by novice investors. This can cause the price of crypto to fluctuate greatly. Therefore, you can expect strong price fluctuations when you buy Coinbase stocks.
The Price of Coinbase Stocks
The value of an online broker typically depends on the value of the trading assets it offers. For Coinbase, this means that its value could change rapidly and significantly.
Since its IPO, the stock price has dropped significantly, likely due to the overall price decline in the crypto market. This makes it harder for Coinbase to make a profit because investors are opening fewer transactions. Coinbase earns money on every transaction, which makes a high trading volume important.
Investing in Coinbase can still be attractive, especially if you believe in the future of cryptocurrencies. If cryptocurrencies become more widely used, Coinbase, as a pioneer, could earn a fortune. They receive a small percentage on every transaction.
Is it wise to invest in Coinbase stock?
Investing in Coinbase stocks can be interesting. The crypto market is enormous and worth trillions of dollars. More and more companies realize that cryptocurrencies will play an important role in the “real economy.”
The results of a company like Coinbase can be closely tied to Bitcoin price movements. Coinbase earns money by charging transaction fees. If crypto prices drop, the company receives a lower amount of transaction fees. Furthermore, the popularity of Bitcoin and other cryptocurrencies often decreases during a crash.
The beauty of Coinbase is that it provides a method to invest in cryptowithout buying crypto coins. This allows you to benefit from the profitability of a real company that may even pay dividends in the future. However, when investing in stocks, you must also monitor the financial health of the company. In addition, research how Coinbase is doing in relation to the competition. If many people switch to another broker, the company’s profitability may be at risk.
Overall, investing in Coinbase is a risky venture. Therefore, consider whether the stock fits within your investment strategy and risk tolerance.
