Coinbase surpassed its reference price of $250 per share, and skyrocketed to a $112 billion market capitalization following its public debut on the Nasdaq on Wednesday. However, the hype was short-lived, because by the end of the day, the cryptocurrency exchange slipped below its opening price as bitcoin declined and tech stocks receded.
Coinbase shares began trading at $381 on Wednesday, and quickly soared to a high of $429.54, before falling below the opening price to a low of approximately $310. However, the closing price was still significantly higher than Nasdaq’s reference price set on Tuesday evening, though no shares traded at that price. In the meantime, bitcoin, which soared to a record-high on Tuesday ahead of Coinbase’s debut, fell to around $62,000, dragging the price of ethereum with it.
Similarly, several prominent stocks appear to have slid following Coinbase’s trading debut, including PayPal, Tesla, and Square. This is likely due to investors switching from so-called bitcoin-proxies to Coinbase, which is a more direct proxy.
Information for this briefing was found via Nasdaq. Thee author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.