Coinbase Stock Climbs Despite Goldman Sachs Tech Sell-Off Warning

Coinbase (NASDAQ: COIN) stock advanced despite fresh warnings from Goldman Sachs that hedge funds are aggressively dumping U.S. technology stocks, highlighting resilient investor confidence in the crypto exchange.

COIN shares gained 2.11% to close at $160 on July 21 and climbed another 3.28% in premarket trading to around $166. The rally suggests investors are focusing on improving market sentiment fueled by the ongoing U.S. earnings season rather than concerns about a broader technology-sector slowdown.

Goldman Sachs' Prime Services desk said hedge funds have been selling U.S. technology stocks for the past two months, contributing to a roughly 10% decline in the sector’s market value—the sharpest drop in a decade. According to the bank, the scale and persistence of the selling indicate that many investors are reducing exposure to technology, driven largely by fears that the artificial intelligence investment boom may be losing momentum. Reports have also noted that AI and semiconductor companies have collectively lost about $1.3 trillion in market value amid these concerns.

Despite the bearish outlook, Coinbase shares have remained resilient. Positive earnings from major U.S. banks, including Goldman Sachs, JPMorgan, and Citigroup, have helped improve broader market sentiment. Meanwhile, optimism surrounding the proposed CLARITY Act has also supported crypto-related stocks after the White House reportedly agreed to key ethics provisions, increasing expectations that the legislation could advance in the Senate.

From a technical perspective, Coinbase faces a key resistance level at $170, a price it has not closed above since early June. Previous breakouts above that level led to strong rallies, including gains toward $213 in February and $216 in April. However, the Relative Strength Index (RSI) remains at 48, indicating that bearish momentum has not fully faded. A move above 50 would provide stronger confirmation of renewed bullish momentum.

Institutional investors continue to adjust their positions. Spartan Wealth Advisory Services, which manages approximately $345 million in assets, acquired 7,059 Coinbase shares worth about $1.23 million during the first quarter of 2026. In contrast, Amova Asset Management reduced its Coinbase holdings by 7.7%, selling 132,046 shares while maintaining a sizable position valued at roughly $1.58 million.