Bernstein Reaffirms Bold Coinbase Target as Crypto Volatility Tests Markets

Wall Street brokerage firm Bernstein is holding firm on its most aggressive outlook for Coinbase (COIN), reiterating an outperform rating and a $510 price target even as renewed bitcoin volatility and a broader market pullback weigh on crypto equities. In a recent note led by analyst Gautam Chhugani, the firm described current market conditions as “fragile,” with turbulent crypto price action spilling into publicly traded crypto-linked companies.

Despite the choppy environment, Bernstein argues this downturn doesn’t resemble previous crypto crashes. Analysts say key industry players now have stronger fundamentals, with excess speculation mostly isolated to “MSTR copycats” rather than the broader ecosystem. According to the report, larger, more established companies are evolving how they generate revenue, making them better positioned for long-term resilience.

Central to Bernstein’s bullish thesis on Coinbase is the exchange’s strategic shift away from relying mainly on spot trading. The firm says Coinbase is steadily building an “everything exchange” — a diversified, full-stack financial platform. Stablecoins now meaningfully contribute to revenue, and ancillary products like staking and custody could be revalued once clearer U.S. regulatory frameworks emerge. Bernstein believes regulation will help boost Coinbase’s competitive standing versus offshore exchanges known for faster token listings and fundraising fees.

The analysts also highlighted Coinbase’s expanding role in token issuance through a launchpad-style model, citing strong demand around Monad’s listing. This approach could create a flywheel effect of more token launches, more listings, and ultimately higher trading volume.

Bernstein points to a major upcoming catalyst: Coinbase’s Dec. 17 product showcase, expected to spotlight initiatives beyond spot trading, including tokenized equities and prediction markets. The firm also sees Coinbase’s growing derivatives push — aided by Deribit — bringing its model closer to that of broker-dealers like Robinhood.

On the consumer side, Coinbase’s Base app is positioned as a versatile on-ramp combining wallet tools, payments, social features and expanded access to onchain tokens. Altogether, Bernstein views Coinbase as transforming into a broader services and distribution platform capable of compounding growth through regulation, new token issuance and an expanding product suite, even amid near-term volatility.