We recently published a list of 10 Firms Mirror Wall Street Decline. In this article, we are going to take a look at where Coinbase Global Inc. (NASDAQ:COIN) stands against other firms mirroring Wall Street decline.
Wall Street’s main indices suffered a bloodbath on Tuesday, as investors shifted to other higher-yielding assets following better Treasury yields.
The Nasdaq Composite led the drop, losing 1.89 percent, followed by the S&P 500 declining 1.11 percent. Meanwhile, the Dow Jones dipped by 0.42 percent.
The overall market downturn dragged down the prices of these 10 companies. In this article, let’s explore the reasons behind their decline.
To come up with Tuesday’s top losers, we considered only the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.
A shot of someone securely accepting crypto assets as payment, showcasing the company’s payment solutions.
Shares in Coinbase Global Inc. (NASDAQ:COIN) declined by 8.14 percent or $23.43 on Tuesday to close at $264.33 apiece after Cathie Wood’s asset management firm Ark Invest sold 3,769 shares for a total of $1.08 million.
According to reports, the sell-off was due to the lack of bounce back in the company’s stock performance.
Investors were also waiting on the sidelines for updates on an ongoing legal case between the company and the Securities and Exchange Commission ahead of the inauguration of the Trump administration.
The US SEC filed a lawsuit against Coinbase (NASDAQ:COIN) in 2023 alleging that the crypto exchange has been facilitating unlawful trading of at least 13 digital assets, which ought to be registered as securities.
Overall, COIN ranks 6th on our list of firms mirroring Wall Street decline. While we acknowledge the potential of COIN as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than COIN but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
