April 14, Coinbase IPO and pump on bitcoin?

[Fundamentals Of]

I am uncertain about this because everyone is so presently very bullish on bitcoin, however, I am beginning to suspect that bitcoin has reached the top. RSI indicator is creating lower highs. Also, each pump attempts on new all time high are weak. Am I crazy for considering this?

What do you mean Bitcoin has reached the top? That the top is just a little beyond the $60,000 level? Come on, you must be kidding or just simply being too pessimistic. Anyway, there were no pump attempts. There was just a few Bitcoin owners who decided to sell some larger amounts that the price slumped a little. Remember this is just a temporary and little slump in the prices. We are still around the $60,000 level.

[bbc.reporter]

The event will be very bullish however I don't want another CME Bitcoin futures launch to happen. Basically everybody was excited about BTC futures and as soon as they launched, it was the peak of the 2017 market.

With Coinbase IPO it might be the exact same event. The stock might be a huge hit and it will directly affect BTC and cause it and other cryptos to rally however there is a chance that it might peak then and start to go down hill.

I am uncertain about this because everyone is so presently very bullish on bitcoin, however, I am beginning to suspect that bitcoin has reached the top. RSI indicator is creating lower highs. Also, each pump attempts on new all time high are weak. Am I crazy for considering this?

Yes.





Just kidding.

Hehehe in all honesty that was the answer I was hoping everyone would say. Who wants another bear market? Certainly not me.

@Fundamentals Of. Yes the top was reached on the $60k level. Attempts to pump more than that appear to be weakening. I am only speculating weakness based on the lower high on the RSI and the weakening of pumps. I am not a pessimist, I am a realist. You do not think the bear is always ready to pounce anytime?

[Fundamentals Of]

@Fundamentals Of. Yes the top was reached on the $60k level. Attempts to pump more than that appear to be weakening. I am only speculating weakness based on the lower high on the RSI and the weakening of pumps. I am not a pessimist, I am a realist. You do not think the bear is always ready to pounce anytime?

I am a realist as well. The bear is always around the corner. But so is the bull. And for now, the bear is not as aggressive as the bull.

I was also saying there was no pump attempt because I think there was no intention whatsoever to pump the price. There were simply traders. There were simply buyers and sellers. And this time, the sellers got the better on this never-ending tug-of-war. But it could flip any second from now.

I guess we were not on the same context with the word top. What I meant was the top as in top. And its current ATH is definitely not its top. It would definitely grow more than that.

[bbc.reporter]

@Fundamentals Of. You might be right but you also oppose what you said. You tell me that the bear is around the corner, however, you also tell me that the current all time high is not the top. How can anyone be certain the bear has not come out of the corner?

[adaseb]

The event will be very bullish however I don't want another CME Bitcoin futures launch to happen. Basically everybody was excited about BTC futures and as soon as they launched, it was the peak of the 2017 market.

With Coinbase IPO it might be the exact same event. The stock might be a huge hit and it will directly affect BTC and cause it and other cryptos to rally however there is a chance that it might peak then and start to go down hill.

It might even get downhill after few days of it on Nasdaq. Can't say it's bad for cryptocurrency though but it might be for Coinbase.

Kevin O'Leary says this $COIN is going to be very volatile whenever there is a bear market in stocks and it gets even more volatile whenever the crypto market experience the bear market again.

Kevin O'Leary? That guy was calling Bitcoin a scam when it was around $10K and when it hit like $50K he finally decided to start investing in it. Also keep in mind that there are many projects which he refused in the past which turned out to be big winners. He doesn't magically have a crystal ball and have wrong predictions from time to time.

Remember the Facebook IPO, many don't remember but it was actually a disaster. It launched at like $40 and kept going downhill from there and didn't pick up until a year later. With Coinbase its very difficult to say what will happen. Even if there is a crypto bear market the price of COIN can still rally if governments keep printing money and stocks keep pumping.

[Sithara007]

It is quite confusing to hear all these self-contradictory statements about Coinbase. The latest news is that rather than going for the IPO, they will go for direct listing in NASDAQ. If it was IPO, then we could have made rough calculations about the valuation. But since that is not the case, there will be a lot of suspense before 14th April, and then extreme volatility once the stock gets listed on 14th. The real valuation will be known only by the end of next week.

[Wind_FURY]

The event will be very bullish however I don't want another CME Bitcoin futures launch to happen. Basically everybody was excited about BTC futures and as soon as they launched, it was the peak of the 2017 market.

With Coinbase IPO it might be the exact same event. The stock might be a huge hit and it will directly affect BTC and cause it and other cryptos to rally however there is a chance that it might peak then and start to go down hill.

It might even get downhill after few days of it on Nasdaq. Can't say it's bad for cryptocurrency though but it might be for Coinbase.

Kevin O'Leary says this $COIN is going to be very volatile whenever there is a bear market in stocks and it gets even more volatile whenever the crypto market experience the bear market again.

Kevin O'Leary? That guy was calling Bitcoin a scam when it was around $10K and when it hit like $50K he finally decided to start investing in it. Also keep in mind that there are many projects which he refused in the past which turned out to be big winners. He doesn't magically have a crystal ball and have wrong predictions from time to time.

PSA, this is what the billionaires are doing,



Don’t give the billionaires, the trolls, the scammers, the shitcoiners, the bankers what they most want from you. Your Bitcoin. HODL all the coins you can. Make lifestyle changes to reduce costs.

[tbterryboy]

If you ask me, bitcoin presently is slowing down with  the pumps becoming weaker on the market. I reckon only more institutional investors’ billions can push this to the predicted $100k target and it appears an approval of an ETF by the US SEC might be one of the ways.

However, is Coinbase’ IPO another way or is the IPO positive only for Coinbase?

I would have to say this is a great news for coinbase shareholders or partners or whoever will be profiting from this but I do not see how this would help people in crypto. What are you expecting, coinbase to get all that money and buy bitcoin with it? I do not think that it would be possible for them to do something like that, I believe they will probably just keep that cash, either grow the business bigger or they would simply just take that money to home.

You think every single company that sells its shares uses that to grow bigger? Some of them are just shareholders who are selling right after it is listed on nasdaq because they would prefer the cash. I have to say since bitcoin is growing bigger and bigger and coinbase is the most known crypto exchange in all of USA, I think that would mean coinbase shares will be overpriced at first, get to a good price, then it will definitely go up a lot in the future, could be a good investment.

[bbc.reporter]

@Pierre 2. I reckon the next storyline for the continuation of the pump on bitcoin is the approval of an ETF by the SEC in America. This is where the biggest institutional investors and international funds can put trust and invest billions. Canada and Brazil have approved their own ETF for bitcoin, however, America, some countries in Europe and Asia are the homes of the biggest investors.

[bbc.reporter]

Everyone should read this. An article written by a skeptic before the IPO or just a writer creating a storyline of a skeptic? This makes me also skeptical hehe, however not of the article but of the writer. What is he implying?



The leading U.S. crypto exchange, Coinbase, is on the brink of a direct listing for shares in the company on Nasdaq, opening it up to scrutiny in the public equity market and demonstrating the extraordinary demand for cryptocurrency. Its staggering first-quarter results have all but guaranteed this stock market debut will be one for the history books, with analysts estimating the company’s value in the tens to hundreds of billions of dollars.

But how long can Coinbase thrive as more and more financial activity moves online natively? What happens to the original fiat-to-crypto on-ramp when people stop needing on- and off-ramps because all the money they earn, and all the places they spend it, are on the leaderless record-keeping systems known as blockchains?

Source https://www.coindesk.com/coinbase-ipo-blockbuster-netflix-dex-defi

[bbc.reporter]

It appears that Coinbase IPO news has a good influence on the price of bitcoin and the hype might continue if the stock pumps hehe. However, is COIN a buy on IPO or is this similar to an ICO where certain groups that hold the stock before listing dump on everyone? The groups that hold Coinbase stock are venture capitalists and other investors.

[estenity]

It appears that Coinbase IPO news has a good influence on the price of bitcoin and the hype might continue if the stock pumps hehe. However, is COIN a buy on IPO or is this similar to an ICO where certain groups that hold the stock before listing dump on everyone? The groups that hold Coinbase stock are venture capitalists and other investors.

zerohedge says today that initial investors bought recently pre-IPO at 350 usd per COIN, but will start IPO at only 250, and some are waiting quickly to get 600 usd.

nasdaq games .

[bbc.reporter]

@estenity. Agreed hehe. They might pump this and create the positive news they want before they dump the stock. However, similar to an ICO, who wants to be left holding the stock before it dumps?

Everyone can watch the IPO on tradingview.com.

https://www.tradingview.com/symbols/NASDAQ-COIN/

[pooya87]

However, is COIN a buy on IPO or is this similar to an ICO where certain groups that hold the stock before listing dump on everyone?

The difference between Coinbase IPO and thousands of ICOs is that Coinbase is actually a legitimate company that has been providing a service that is used by lots of people and has a real revenue and a good future ahead, while ICOs are completely useless tokens created by random people with no future and no plans and no revenue.
Most importantly Coinbase shares are directly linked to Coinbase (the company) and is affected by it while ICO tokens have absolutely no link to the creator. they are subject to market pump and dumps.

Otherwise the concept of ICO and IPO is very similar.

[Wind_FURY]

Coinbase goes offline at every Bitcoin surge, maybe deliberately. Will it go offline if Bitcoin surges quickly going to $80,000, while their IPO is happening? That would be laughable. Hahaha.

[OgNasty]

There is no doubt that owning Coinbase up until now has been a great financial move.  Personally though, I'm worried that their current market position leaves them only one way to go, down...  The question when looking at the financials is if they're going to be able to make back the funds they raise before losing market share.  I personally try to think from the company's side of things when evaluating IPOs and it's clear that the risk being removed here is that of a Bitcoin bubble inflating revenue numbers.

While it's easy to look at Coinbase as a great company and want to own a piece, I remember there's a quote that goes something like this...  There's a fool involved in every trade, if you don't know who the fool is, it is you.  While it's not necessarily a bad thing to be the "fool" in a trade, you should know why you're the fool and accept that.  For those buying COIN, you are the fool.  You are buying a company with a dominant market share that makes money on trades of an asset that is in a bubble.  There are many reasons why one might be ok with this...  Maybe you think the bubble is going to be so big that Coinbase is going to make a fortune the rest of the year and you can escape before the pop.  Maybe you think when the dust clears they will still be an attractive investment.  Maybe you want to diversify your portfolio with crypto assets but only want to purchase companies.  Who knows why...  Just be sure if you're involved in the trade that you know who the fool is, and you have a plan to utilize the trade accordingly. 

[thecodebear]

Coinbase shares opened at $381, giving Coinbase an opening market cap of $99.6 billion. It quickly shot up to $420+ per share, currently right around $400/share.


Based on the actual earnings of the business it should be valued at probably like $20 billion. So basically investors of Coinbase are saying they believe the company will explode as crypto explodes over the long term, and are pricing that in right now.

[estenity]

Coinbase shares opened at $381, giving Coinbase an opening market cap of $99.6 billion. It quickly shot up to $420+ per share, currently right around $400/share.


Based on the actual earnings of the business it should be valued at probably like $20 billion. So basically investors of Coinbase are saying they believe the company will explode as crypto explodes over the long term, and are pricing that in right now.

now quickly crashing lower.

[Febo]

There is no doubt that owning Coinbase up until now has been a great financial move.  Personally though, I'm worried that their current market position leaves them only one way to go, down... 

I dont think Coinbase share price can go down until Bitcoin will grow this cycle. People will simply want to be part of crypto anyway they can be and they will feel like they are by buying Coinbase shares. Once bearmarket start there will be huge correction at Coinbase price.  They planed timing of the IPO well.

[thecodebear]

There is no doubt that owning Coinbase up until now has been a great financial move.  Personally though, I'm worried that their current market position leaves them only one way to go, down...  The question when looking at the financials is if they're going to be able to make back the funds they raise before losing market share.  I personally try to think from the company's side of things when evaluating IPOs and it's clear that the risk being removed here is that of a Bitcoin bubble inflating revenue numbers.

While it's easy to look at Coinbase as a great company and want to own a piece, I remember there's a quote that goes something like this...  There's a fool involved in every trade, if you don't know who the fool is, it is you.  While it's not necessarily a bad thing to be the "fool" in a trade, you should know why you're the fool and accept that.  For those buying COIN, you are the fool.  You are buying a company with a dominant market share that makes money on trades of an asset that is in a bubble.  There are many reasons why one might be ok with this...  Maybe you think the bubble is going to be so big that Coinbase is going to make a fortune the rest of the year and you can escape before the pop.  Maybe you think when the dust clears they will still be an attractive investment.  Maybe you want to diversify your portfolio with crypto assets but only want to purchase companies.  Who knows why...  Just be sure if you're involved in the trade that you know who the fool is, and you have a plan to utilize the trade accordingly. 

Yes I mostly agree. Actually from the initial round of funding of Coinbase in 2012 or 2013 when it got its first valuation at like $12 million or something, those initial investors have made almost exactly the same amount from then until the public open today as if they had just bought Bitcoin then. At actually I think just like in 2019 Coinbase was only valued at like $8 billion, so likely any rich investor who was able to buy Coinbase while it was private likely got about as good an investment up to today as if they had just bought Bitcoin at that time. That's very impressive.

BUT....given Coinbase's revenue/profit numbers a $100 billion valuation is completely absurd. Granted we are in the era now of inflated stock prices that make no sense with the company fundamentals, but still Coinbase's valuation is absurd even given this. So yeah I agree that likely the only way for Coinbase's stock to go in general is down. In fact it has already gone down from a high of $420 a few hours ago to $330 now, but we'll have to see what happens in the next few weeks as obviously right after the initial public offering a stock is in extreme price discovery.

I don't agree that these prices are because Coinbase "makes money on trades of an asset that is in a bubble", because Bitcoin is not in a bubble (though probably plenty of altcoins are). There's a good chance that it won't take too long before we never see Bitcoin as low as $60k again. But Coinbase's stock is highly hyped because we are currently in a major bull market, if they had gone public a year ago their public offering probably would have been priced more appropriately at like $15 billion or something.

And it's not like Coinbase is an empire like Binance. Coinbase is just a very popular exchange, meanwhile Binance is building a crypto empire. I could see a reason for Binance to be valued at $100 billion since they are the largest exchange in the world, the control BNB, and they now have the BSC, but Coinbase at $100 billion is a freakin joke. In a few years when crypto is much larger than it is now, sure a $100 billion valuation makes sense for Coinbase, but today if you're buying Coinbase stock you're buying a much inflated future price rather than paying the current fair price, which as Ognasty says above, makes you the fool. I expect the next few years to see Coinbase try to validate a $100 billion valuation, while Bitcoin climbs into the multiple trillions, meaning if you're trying to choose between Bitcoin and Coinbase stock, Bitcoin is the far better choice.