Coinbase Share Price Rose 121% Year-to-Date Due to Market Rebound and Positive Legal News

Coinbase's stock, $COIN, has seen impressive gains in the past few weeks, with a 55% increase following Wednesday's open, and 121% increase year-to-date.

The recent surge can be attributed to two factors: crypto market rebound and positive legal news. Since the start of the year, crypto market has seen a strong rebound due to better liquidity conditions and deleverage and elimination of bad credit and actors. Additionally, the recent dismissal of a class action lawsuit against Coinbase and its CEO, Brian Armstrong, has also contributed to the surge.

In our Crypto Exchanges 2022 Annual Report dated 16 January, we also viewed the stock as undervalued.

However, despite these gains, the regulatory classification of tokens remains unclear and other class action lawsuits against Coinbase are still pending, so caution should be exercised when considering an investment.