Coinbase shares slump as analysts weigh impact of Ripple court ruling

Quick Take

  • COIN traded down by more than 3% after a gangbuster Thursday. 
  • However, financial firms have raised the stock’s price target to over $100 following the Ripple Labs lawsuit decision. 

Coinbase shares declined on Friday after a gangbuster session for the stock the day prior, though financial institutions have increased the stock's overall price target. 

COIN was trading down 3.3% to $103.50 at 3:31 p.m. in New York, according to TradingView.

The firm, which has seen its stock price surge since the beginning of the year, rallied more than 20% on Thursday alongside the broader crypto market after a judge ruled that Ripple Lab's sales of XRP on exchanges did not violate securities laws. 

Relative to bitcoin, the firm's stock has taken off since mid-June. That's been underpinned by headlines of its involvement in the launch of a number of proposed spot bitcoin exchange-traded funds. 

Earlier Friday, shares in the exchange surged above $110. 

Increased price targets

Private investment firm WedBush said in a Thursday report that it increased its price target on the company to $110.

"We are specifically encouraged by the suggestion that XRP sale on the public exchanges did not involve securities," the firm wrote.

The bank Needbush also increased its price target to $120 from $70 following the decision, Coinbase reported.

© 2023 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.