The Coinbase (Coin) is going to the Shaki Ground in its first quarter -earning report, four Wall Street analysts expect a miss as Retail Trading Lull is likely to put pressure on the most profitable commercial lines of Crypto Exchange.
The company is scheduled to report the results of the first quarter in the market after Thursday. According to factset data, analysts fell from $ 1.93 to $ 1.93 to fall from $ 2.27 billion to $ 2.1 billion to $ 1.93 in the fourth quarter.
In the first quarter of the year-ear, it reported an EPS of $ 4.40 and a revenue of $ 1.2 billion. The trading volume is expected to land around $ 403.8 billion versus $ 439 billion in the fourth quarter.
JP Morgan cut his EPS estimate to $ 1.59, with a 10% decline in the trading volume of the coinbase and a 17% slide in the total crypto market cap during the quarter. Adjusting to Crypto Asset Los, they look at EPS at $ 2.39, which are supported in part by controlled expenses and stable membership revenue.
Barclays and compass points see deep troubles. Barclays hit its revenue and EBITDA forecasts, saying that despite stabeloin growth, the market has cooled rapidly since January. It keeps the retail volume below the $ 79.8 billion an average estimate of $ 79.8 billion for $ 69 billion.
Compass point, more recession still, downgrade stocks to sell, which estimates transactions of $ 1.24 billion, unanimously 7% below. This argues that coinbase is losing retail for decentralized exchanges and warns of further pain in the second trimester.
Popular trading platform Robinhood, last week, transaction-based revenue fell by 13% from the fourth quarter last week as the market cooled down in the first three months of the year.
Stablecoins for rescue?
A region of optimism: Stablecoins.
The revenue of the coinbase from the USDC increased as a market cap of Stabelcoin, which climbed 42% during this quarter, helping the bolt subscription revenue. The first quarter’s revenue in Barclays estimates $ 304 million in revenue -related revenue, and even a compass point suspected that it helps reduce falling income due to slides in the price of ether.
Openhaimer reacted its volume from $ 440 billion to $ 380 billion, but said the coinbase gained US spot trading market share. This is a positive sign, but does not matter if retail traders sit on their hands.
Concerns about long -term competitive pressures are also increasing. Analysts stated that decentralized exchanges – especially to trading a broad array of tokens in retail users – decentralized exchanges – especially their base such as sharp and cheap blockchain. While the US market share of the coinbase is increasing, its dominance as a centralized, regulated exchange may not be sufficient to remove this change.
Further, analysts take precautions that trading may slow down to make a close-term rebound physical, especially with retail traders to be hesitant to re-enter the market again until they re-acquire the earlier damage.
The coinbase shares are 23% year-on-year below the year, trading at $ 198.06, while bitcoin is up 3.8% since the beginning of the year at $ 97,023.,
Disclaimer: parts of this article were generated with assistance from the AI tool and reviewed by our editorial team to ensure accuracy and adherence to our standards. For more information, see the full AI policy of coindesk.
