Coinbase stumbles to its lowest price since going public as the crypto market sells off

coinbase direct listing
  • Coinbase shares on Monday hit their lowest level since making their public trading debut in April.
  • The stock fell as much as 8% on Monday as a sell-off in bitcoin led to weakness across assorted cryptocurrencies.
  • See more stories on Insider’s business page.

Coinbase shares on Monday fell to their lowest price since the cryptocurrency exchange began trading last month, under pressure as bitcoin and other cryptocurrencies heavily sold off.

Risk aversion appeared to hit the crypto market broadly as bitcoin slumped to a February low and other stocks exposed to bitcoin lost ground. Losses for bitcoin and other cryptocurrencies pulled the valuation of the global cryptocurrencies market down by much as $50 billion during Monday’s session, according to CoinMarketCap.

Coinbase shares fell as much as 8%, to $238.25, marking the first time they had dropped below the reference price of $250 set before the stock’s public-market debut in April. Actual trading opened at $381 on April 14.

Coinbase’s stock has largely pulled back since they surged to $429.54 in their first day of trading. Their arrival marked the first cryptocurrency exchange to go public. Bitcoin was also in the spotlight on that day as it hit a record above $64,000.

But bitcoin on Monday sank below $43,000 after Tesla CEO Elon Musk suggested the electric car maker might – or had sold – its holdings in the cryptocurrency. Bitcoin pared its loss after Musk clarified that Tesla still held its bitcoin stake. However, bitcoin’s price still suffered as did those of other cryptocurrencies including a 6% decline in Ether, the token of the Ethereum blockchain, lost 5%, Cardano-ADA fell 10%, and Dogecoin shed about 4%.

The value of the global cryptocurrency market lost as much as 23% over the past five days since reaching its most recent market-cap high of $2.56 trillion.

Coinbase last week reported first-quarter adjusted earnings of $3.05 per on revenue of $1.8 billion that met expectations. Coinbase did say it planned to start offering dogecoin for trading in six to eight weeks.

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The crypto market has lost 23% of its value in just the last 5 days

BTC vs. ETH 4
  • The market capitalization of global cryptocurrencies has dropped by 23% in just the last five days, according to data on CoinMarketCap.
  • The Bitcoin has fallen roughly 35% since hitting all-time high in mid-April as comments.
  • Tesla CEO Elon Musk has been responsible for recent swings in the cryptocurrency as he laments the amount of energy used to mine.
  • See more stories on Insider’s business page.

The value of the cryptocurrency market has slid by 23% in just the last five days. It’s been pulled lower by a sell-off in bitcoin most recently catalyzed by comments made by Tesla CEO Elon Musk.

The market cap for global digital currencies came in at $1.97 trillion on Monday, down from a recent peak of $2.56 trillion on May 12, according to data from

“The crypto world is in the danger zone … as no one has a handle over short-term momentum because of uncertainty on where Elon Musk stands on bitcoin,” Edward Moya, a senior market analyst at Oanda, wrote in a note to Insider on Monday.

Bitcoin on Monday fell below $43,000 to its lowest point since February while other crypto prices suffered as well. Ether, the token of the Ethereum blockchain, was down nearly 8%, Cardano-ADA sank 10%, and Binance Coin fell about 9%. Dogecoin gave up 7%.

Solana was the only one of the 20 largest cryptocurrencies by market cap to gain ground Monday, up about 0.2%, according to CoinGecko.

Bitcoin dropped Monday after Musk on Twitter suggested Tesla might – or had sold – its holdings in the cryptocurrency. It slightly rebounded after Musk clarified that the electric vehicle maker still held its bitcoin stake. Bitcoin’s recent selloff was sparked after Musk last week said Tesla would stop taking bitcoin as payment because of the “insane” amount of energy needed to create new coins and secure the network.

“It seems unlikely that a massive financial institution will make a big bet on crypto in this current market as environmental concerns come to the surface,” said Moya.

Musk later suggested that Dogecoin may be a payment option for Tesla as he’s working with Dogecoin developers to improve system transaction efficiency.

Read more: ‘Wolf of All Streets’ crypto trader Scott Melker breaks down his strategy for making money using ‘HODLing’ and 100-times trade opportunities – and shares 5 under-the-radar tokens he thinks could explode

“Everyone has been watching BTC fall, crashing 35% from all-time highs, just within a month,” said Justin Chuh, senior trader manager Wave Financial, a regulated digital asset investment firm, in a note. “Remember gravity and volatility? They exist. Some of the new crypto market entrants are about to have their first taste of risk

He continued: “A pullback was bound to happen. But we have to accept that those voices chirping around on social media aren’t helping and can actually make moves. This is healthy, but I think we all wish this didn’t happen.”

Broad risk aversion that hit US stocks on Monday didn’t aid the cryptocurrency market, said Moya, and “retail traders on social media platforms TikTok and Twitter are losing confidence and are getting closer to hitting the panic button.”

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