"JPMorgan Warns of 35% Potential Drop in Coinbase Stock Due to Bitcoin ETF 'Mirage'"

JPMorgan analyst Kenneth Worthington downgraded Coinbase's stock to underweight, warning of a potential 35% downside due to concerns about the impact of Bitcoin ETFs on the cryptocurrency ecosystem. Worthington believes that the initial net inflows into Bitcoin ETFs have been less than anticipated, leading to lower token prices, trading volume, and revenue opportunities for firms like Coinbase. He maintains a $80 price target on Coinbase shares, suggesting a challenging year ahead, and warns that the prospect of windfalls from Bitcoin ETFs could be a "mirage." Following the downgrade, 11 of 27 analysts now have bearish ratings on Coinbase shares.