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Coinbase Shares May Not Start Trading Right after Market Opens

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While being applauded by many, the listing of Coinbase has been described as a “watershed event” for the global cryptocurrency industry by Wedbush Securities analyst Dan Ives.

Coinbase shares may not be readily available for trading right after the United States stock market opens by 9:30 am ET. As peculiar with companies who went public through direct listing as Coinbase is considering, agreeing on the reference point for trading to kickstart between the sellers and the buyers usually takes some time.

The public debut of Coinbase is one of the most anticipated listings thus far this year, marked because it represents the cryptocurrency trading ecosystem and industry in general. In the direct listing option, holders of the shares sell directly to new investors, at a soothing price that serves as the reference for all. As of late Tuesday, the reference point for trading the company’s shares was pegged at $250, a valuation that is close to $100 below the $343.58 price it had been trading at in the private secondary markets. 

One of the early Coinbase investors, Barry Silbert, the Chief Executive Officer of Digital Currency Group said in a tweet that he will not be trading his Coinbase shares at the $250 reference price.

While Coinbase will be available for trading today, the anticipation to get them as soon as the market comes to life may have to be tempered down. Until at least, a favorable agreement is reached for the reference price.

Coinbase Listing Is a ‘Watershed Event’ for the Crypto Industry

The listing of Coinbase while being applauded by many has been described as a “watershed event” for the global cryptocurrency industry according to Wedbush Securities analyst Dan Ives.

The trading of the company’s stock on the Nasdaq bourse is “potentially a watershed event for the crypto industry and will be something the Street will be laser-focused on to gauge investor appetite,” he said.

However, many are quick to note that the close ties of the firm to the broader cryptocurrency market with Bitcoin (BTC) at the center can serve as a systemic limitation when the market tides are down. Nonetheless, the faith of those who believe Coinbase will eventually grow to become an index for all altcoins that are being built outstrips the sentiments of the critics. 

Impact of Future Regulations of the Cryptocurrency Industry

The United States is at a crucial stage where crypto industry stakeholders are demanding clarity in the regulations binding the cryptocurrency ecosystem from regulators.

“Some of Coinbase’s activities (such as some of its prime brokerage services and its use of its own capital to trade) might be subject to tighter regulatory oversight in the future,” said Stéphane Renevier, an analyst at financial education platform Finimize. “Given that the regulatory landscape is evolving extremely rapidly, the company is always at risk from a change in status, which could impact some of its most profitable activities.”

The advent of these regulations which may take any form may have an impact on Coinbase’s business, and systems must be designed to accommodate them if the company must stay relevant in the space it currently dominates.

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Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture.





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Ethereum price closes in on $4K as Shiba Inu (SHIB) steals Dogecoin’s thunder

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The crypto market has rallied into the weekend as Ether (ETH), Dogecoin (DOGE) and Shibu Inu (SHIB) hit new all-time highs as they lead the pack of altcoins up the market cap mountain. 

Much of the excitement behind Dogecoin’s rally has been attributed to the upcoming appearance of Elon Musk, the CEO of Tesla and a Dogecoin advocate, on the popular Saturday Night Live comedy sketch show. Ether, on the other hand, continues to rally toward $4,000 as institutional interest in the altcoin soars and the approaching London hard fork have investors feeling extra bullish.

Data from Cointelegraph Markets and TradingView shows that after briefly dipping to a low of $3,418 in the late hours on May 8, Ether price regained its composure and proceeded to vault 13% to reach a new all-time high at $3,958. 

ETH/USDT 4-hour chart. Source: TradingView

While some have been surprised by the bullish movement from the second-largest cryptocurrency by market capitalization, it comes as no shock to Cointelegraph market analyst Marcel Pechman who recently detailed how Ether “could easily sustain until $5,000.”

Bitcoin (BTC) has used its time out of the spotlight to quietly climb higher with bulls now attempting to hold the price above $59,000.

Canine-themed ‘meme coins’ lead the pack

Dogecoin has emerged as one of the biggest mainstream attention grabbers in cryptocurrency history as scores of new users got their first taste of crypto trading from the popular meme token.

The week-long build-up in momentum for DOGE led to a 25% surge in the early trading hours on Saturday that lifted its value to a new all-time high at $0.74 before profit-taking dropped the price back below $0.68.

DOGE/USDT 4-hour chart. Source: TradingView

Thanks to the global attention that Dogecoin has attracted, a number of canine-themed projects have arisen, including Shiba In (SHIB), which burst onto the scene following a two-day rally that saw its value launch 1,100% higher to establish a new record high at $0.0000178.

The overall cryptocurrency market cap now stands at $2.463 trillion and Bitcoin’s dominance rate is 44.8%.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.