Shares in Nasdaq-listed cryptocurrency alternate Coinbase (COIN) tanked 19.6% to $314.69 final week, registering its worst efficiency since September 2024, in line with information supply TradingView.
On Thursday, COIN printed its second-quarter earnings report, revealing a web working earnings per share of 12 cents, with an 88.8% year-over-year lower within the backside line.
The $1.5 billion in income fell wanting FactSet’s $1.59 billion estimate, whereas the EBIDTA declined to $512 million as transaction income slipped 39% from the earlier quarter.
The worth sell-off is according to the late June evaluation by crypto analysis agency 10x, which said that the second-quarter worth rally appeared overstretched relative to fundamentals. The agency beneficial shorting COIN whereas shopping for BTC.
Early final month, funding agency H.C. Wainwright sharply downgraded Coinbase to Promote from Purchase, saying that the second quarter rally outpaced fundamentals.
COIN put choices in demand
The sell-off has merchants chasing draw back safety in COIN.
As of Friday, the one-year put-call skew, which measures the implied volatility (demand) differential between put and name choices, rose to 2.6%, the best since April 21, in line with information supply Market Chameleon.
In different phrases, put choices, providing insurance coverage in opposition to worth losses within the underlying asset, traded at a 2.6 volatility premium to name choices or bullish bets.
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