Written by Bryan Lutz, Editor at Dollarcollapse.com:
Today, it appears Coinbase may be headed for paradise.
The infamous “death cross” flashes across its chart.
The “death cross” occurs when the 50-day moving average crosses below the 200-day moving average.
As you may have guessed, it signals death for a stock. The bear is coming.
Over the past several months, and in fact, since the halving, Coinbase has declined with Bitcoin.
Bitcoin follows a slow decline every post-halving cycle.
That’s just what Bitcoin does. Bitcoin miners must put more energy into solving another block for only half the reward – this time, 3.125 BTC / block.
So, it costs more to mine Bitcoin. Then valuations drop until there is finally a supply crunch.
When demand exceeds supply, prices go up.
Coinbase(the custodian of the world’s largest Bitcoin ETF, Blackrock’s Bitcoin ETF, IBIT) is either dying, or it is simply following a cycle we’ve seen Bitcoin follow several times before.
This may come as a surprise for some, since Coinbase was one of the most stable crypto exchanges during crypto winter (2021-2023).
It even raked over a billion in profit during darkest months of crypto winter.
Yet, it has also been one of the most ignored and hated publicly-traded crypto stocks over the past several years.
So does the “death cross” signal death?
Or does it signal a coming resurrection into paradise?
2 thoughts on "Today, in Paradise: Is Coinbase Becoming Crypto’s Next Sacrifice?"
My charting shows a move down to about $110.00 by mid Oct then a possible retest of the 50MA and (possibly) the 200MA, ( but under $200) before collapsing to less than $50.00 in 2025.
Yes, it doesn’t look good for Coinbase. If you like, Bitcoin it’s a total contrarian play.