Coinbase Global stock price surged on Friday to reclaim its direct listing price for the first time in over two years.
The cryptocurrency exchange’s stock surged by 5.8% on Friday to close at $256.62 per share, its highest value since December 2021.
When Coinbase made its debut in a direct listing back in 2021, the reference price was set at $250 per share.
Despite early enthusiasm driving shares to an all-time high of $350 in November 2021, the company faced challenges, ending its first year of trading with a 38% decline.
The following years were marked by pressure on Coinbase shares as the cryptocurrency market experienced a downturn, coupled with increased regulatory scrutiny from the US Securities and Exchange Commission.
However, the tide turned in the past year as Coinbase experienced a resurgence, buoyed by the rising price of Bitcoin, which hit an all-time high on the same Friday.
Also, the SEC’s approval of exchange-traded funds investing directly in digital assets provided further momentum.
Coinbase shares have surged over 300% in the past 12 months, reflecting the renewed investor confidence in the cryptocurrency market.
While surpassing the direct listing reference price signals a significant milestone, it may offer little solace to early investors who endured a tumultuous ride.
Despite glitches and challenges, Coinbase’s upward trajectory mirrors Bitcoin’s ascent, underlining the interplay between cryptocurrency markets and related stocks.
As Coinbase continues its journey, investors remain vigilant, navigating the volatile yet promising landscape of digital assets and trading platforms.