Serious Coinbase ‘Sell’ Warning Triggers Sudden Price Crash As Bitcoin And Ethereum Dive

Bitcoin
BTC
Ethereum and other major cryptocurrencies have become negative (Despite waiting for something that could be a big market earthquake).

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Bitcoin prices have fallen towards $ 20,000 per Bitcoin and have plummeted by more than 70% since peaking close to $ 70,000 at the end of last year—When China warns, it will eventually go to zero— Ethereum prices are down about 80% Cryptographic market collapse that some believe could reveal future giants in technology..

Now, Wall Street giant Goldman Sachs analysts have downgraded the crypto exchange Coinbase to “sell.” It warns that the company could go “further deterioration” even after a catastrophic price plunge of 80%.

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More from ForbesCryptographic price crash reveals “Amazon and eBay”-but will Bitcoin, Ethereum, BNB, XRP, Solana, Cardano and Dogecoin survive?To Billy Bambro

“Coinbase believes that the cost base needs to be significantly reduced to stop the cash burn that occurs as retail trading activity runs out,” said William Nance, an analyst at Goldman. .. report To BloombergWith the addition of a company, we may be on track towards a “further deterioration” of our earnings base.

Coinbase, which made its market debut in April last year, was forced to abruptly dismiss almost 20% of its staff until it canceled an accepted job after its CEO fell by more than 80% last month. ..Brian Armstrong warned that the impending recession could be prolonged The so-called “crypto winter” bear market.

“Coinbase faces difficult choices between dilutive shareholders and significant reductions in effective employee compensation, which can impact talent retention,” Nance added.

Goldman’s downgrade from “neutral” to “cell” caused an additional 10% decline in stock prices, with the company’s market capitalization rising from its peak of over $ 85 billion last year to just $ 12 billion.

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More from Forbes“Heading To Zero”-China issues a shock Bitcoin price warning in the midst of a huge $ 2 trillion cryptocurrency crashTo Billy Bambro

Coinbase, the largest Bitcoin and crypto exchange in the United States, is widely regarded as the primary crypto-on-ramp for new users, but the “continuous fall in crypto prices” has evaporated the flow of new users.

The brutal Bitcoin, Ethereum, and cryptocurrency plunge began late last year after the Federal Reserve began to curtail the huge stimulus of the pandemic era, causing a broader stock market collapse. ..