Bernstein’s Bullish Stance on Coinbase: A 50% Rally Ahead as the ’Most Misunderstood’ Crypto Giant
Coinbase Global Inc. is gearing up for a significant breakout, according to Bernstein analyst Gautam Chhugani, who has dubbed the exchange as 'the most misunderstood company' in the cryptocurrency space. Bernstein has raised its price target for Coinbase to $510, up from $310, suggesting a potential 48% upside from current levels. This optimistic outlook is rooted in Coinbase's dominant position in the U.S. crypto trading market, its leading role in the stablecoin business among exchanges, and its pioneering services for institutional crypto clients. Chhugani's analysis highlights the company's robust fundamentals and its strategic positioning to capitalize on the growing institutional adoption of digital assets. As of June 26, 2025, this bullish sentiment underscores Coinbase's potential to outperform market expectations and solidify its status as a cornerstone of the crypto economy.
Bernstein Bullish on Coinbase: Sees 50% Rally Potential as 'Most Misunderstood' Stock
Coinbase Global Inc. is poised for a major breakout, according to Bernstein analyst Gautam Chhugani, who calls the exchange "the most misunderstood company" in crypto. The firm raised its price target to $510 from $310, implying 48% upside from current levels.
"Coinbase dominates US crypto trading, runs the largest stablecoin business among exchanges, and leads institutional crypto services," Chhugani noted. The platform's strategic acquisitions—including a top crypto options exchange—and its ethereum scaling solution position it as infrastructure leader.
Despite bearish consensus, Coinbase continues defying expectations. Its S&P 500 status and regulatory compliance create moats against traditional finance competitors eyeing crypto. The tokenization network built on its Ethereum layer-2 chain emerges as a hidden growth engine.
Stablecoin Market Cap Hits $250B as GENIUS Act Nears Final Approval
The global stablecoin supply has surged past $250 billion, reaching $253.041 billion, according to DeFillama data. This milestone coincides with the GENIUS Act, a bipartisan stablecoin regulation bill, nearing final approval after passing the Senate with a 68-30 vote. The House is now reviewing the legislation, which could position the U.S. as a leader in the digital currency space, potentially rivaling China's digital yuan.
Tether's USDT dominates recent stablecoin minting, driving a 2.34% monthly market cap increase. The regulatory momentum has buoyed crypto-related stocks, with Circle (CRCL) and Coinbase (COIN) jumping 33.8% and 16%, respectively. Critics like Senator Elizabeth Warren warn of unchecked growth risks, but proponents see the bill as a watershed moment for U.S. crypto competitiveness.
Bernstein Raises Coinbase Price Target to $510, Citing Crypto 'Universal Bank' Potential
Coinbase (COIN) remains one of the most misunderstood players in crypto despite its dominant market position, according to Bernstein. The brokerage lifted its price target to $510 from $310, sending shares up 4% to $360 in early trading.
The exchange is quietly building crypto's foundational infrastructure—bridging retail, institutional, and on-chain services at unmatched scale. Its custody arm secures assets for eight of the eleven spot Bitcoin ETF issuers, while the Base Layer 2 network hosts JPMorgan's tokenization experiments.
Regulatory tailwinds like the GENIUS and CLARITY Acts could further cement Coinbase's role as the industry's de facto banking partner. Stablecoin revenue, now 15% of total income through Shopify integrations, demonstrates the firm's expanding payment rails.
Gelato and Morpho Partner To Offer Embedded Crypto-Backed Loans
Gelato, a web3 developer cloud platform, and Morpho, a decentralized lending protocol, have launched Embedded Crypto-Backed Loans. This collaboration allows wallets, brokers, and fintech apps to offer users instant stablecoin loans using crypto assets as collateral. The borrowing process is non-custodial, onchain, and features a Web2-like simplicity.
Morpho, which recently partnered with Coinbase for BTC-backed loans, brings $6.5 billion in total value locked. Gelato's Smart Wallet SDK, used by Safe and Gnosis Pay, handles account abstraction and gasless transactions. The integration combines Gelato's wallet infrastructure with Morpho's lending markets, enabling platforms to deploy secure borrowing flows in days.
BlackRock and Fidelity Pour Over $500M Into Bitcoin in One Day
Institutional interest in bitcoin is surging as major asset managers make significant moves. On June 25, blockchain data revealed that BlackRock and Fidelity collectively acquired more than half a billion dollars worth of BTC, signaling strong confidence in further upside potential.
BlackRock took the lead, with 4,130 BTC (approximately $436 million) transferred directly into its iShares Bitcoin Trust (IBIT) from Coinbase Prime. This substantial allocation underscores a deliberate, high-conviction strategy. Fidelity followed suit, depositing 805 BTC (valued at over $85 million) into its FBTC ETF address in two separate transactions, suggesting a measured approach to exposure.
Even Grayscale, despite recent outflows, added 55 BTC to its GBTC trust. Bitwise and ARK Invest also executed internal wallet transfers, typical rebalancing activity that gains significance amid the broader institutional inflow trend.
Bitcoin's resilience above $105,000 fuels Optimism that ETF-driven demand could propel a Q3 rally. While retail enthusiasm has waned, the scale of institutional accumulation indicates sophisticated investors are positioning for what lies ahead.
Bernstein Calls Coinbase the 'Amazon of Crypto' as Stock Rises on Bullish Outlook
Coinbase Global's stock climbed 3% to $355.37 on June 25 after Bernstein analyst Gautam Chhugani elevated his price target to $510 from $310, maintaining an Outperform rating. The crypto exchange now trades near its November 2021 record close of $357.39.
Chhugani, a top-ranked analyst with 66% forecast accuracy, positioned Coinbase as "the most misunderstood company" in crypto. The platform dominates U.S. digital asset trading as the sole crypto firm in the S&P 500, while servicing most spot Bitcoin ETF custodianship.
The report highlights Coinbase's expanding institutional services, including custody solutions and stablecoin operations. "This is the Amazon of crypto financial services," Chhugani wrote, drawing parallels to the e-commerce giant's sector dominance.
