Coinbase IPO Stock Price: Should I buy COIN? Technical levels to watch
Premium|Take advantage of 50% OFF on your first month.
Start your subscription and get access to all our original articles.
You have reached your limit of 5 free articles for this month.
Get Premium without limits for only $9.99 for the first month
Access all our articles, insights, and analysts.
UNLOCK OFFER- COIN shares fell again on Thursday as Bitcoin retreats from highs.
- Coinbase up in Friday premarket despite BTC suffering Turkey backlash.
- The crypto exchange is showing some interesting technical levels to trade around.
COIN took some time to open, but when it did it certainly kicked the market out of its volatility slumber. COIN rallied straight at the open up to $428 before retreating back to $338.
Stay up to speed with hot stocks' news!
Coinbase became one of the largest direct listings and proved the validation of Bitcoin trading to many investors. Other more traditional investors questioned the valuation of COIN as it neared $100 billion. This would make it worth more than other financial market exchanges such as NYSE, Nasdaq and Euronext combined.
Ignoring the fundamentals though and focusing on technical levels and momentum is what shorter-term, day traders need to do.
COIN stock forecast
Short term, the Moving Average Convergence Divergence (MACD) indicator offered a crossover buy signal late on Thursday. Friday needs to see a continuation of this with a recapture of moving averages. The first level to target is the 23.6% Fibonacci retracement of the move from the opening day high to low. This level is $337.99. From there, the top of the recent range at $325.21 is next in line to be targeted.
A break of $320.58 takes COIN out of the recent range and is short-term bearish. Look for confirmation from the MACD.
The Relative Stength Index (RSI) is pretty neutral but obviously needs to be watched.
The Directional Moving Average (DMI) is signalling bearish trends as the negative line is clearly well above the green positive line. The black ADX line is showing a trend is in place, and it is negative. Crossovers of the green and red lines give strong trading signals to keep an eye on. Some may not be familiar with the DMI, but it was developed by J. Welles Wilder, who developed the more common RSI.
At the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
This article is for information purposes only. The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice. It is important to perform your own research before making any investment and take independent advice from a registered investment advisor.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to accuracy, completeness, or the suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. The author will not be held responsible for information that is found at the end of links posted on this page.
Errors and omissions excepted.
- COIN shares fell again on Thursday as Bitcoin retreats from highs.
- Coinbase up in Friday premarket despite BTC suffering Turkey backlash.
- The crypto exchange is showing some interesting technical levels to trade around.
COIN took some time to open, but when it did it certainly kicked the market out of its volatility slumber. COIN rallied straight at the open up to $428 before retreating back to $338.
Stay up to speed with hot stocks' news!
Coinbase became one of the largest direct listings and proved the validation of Bitcoin trading to many investors. Other more traditional investors questioned the valuation of COIN as it neared $100 billion. This would make it worth more than other financial market exchanges such as NYSE, Nasdaq and Euronext combined.
Ignoring the fundamentals though and focusing on technical levels and momentum is what shorter-term, day traders need to do.
COIN stock forecast
Short term, the Moving Average Convergence Divergence (MACD) indicator offered a crossover buy signal late on Thursday. Friday needs to see a continuation of this with a recapture of moving averages. The first level to target is the 23.6% Fibonacci retracement of the move from the opening day high to low. This level is $337.99. From there, the top of the recent range at $325.21 is next in line to be targeted.
A break of $320.58 takes COIN out of the recent range and is short-term bearish. Look for confirmation from the MACD.
The Relative Stength Index (RSI) is pretty neutral but obviously needs to be watched.
The Directional Moving Average (DMI) is signalling bearish trends as the negative line is clearly well above the green positive line. The black ADX line is showing a trend is in place, and it is negative. Crossovers of the green and red lines give strong trading signals to keep an eye on. Some may not be familiar with the DMI, but it was developed by J. Welles Wilder, who developed the more common RSI.
At the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
This article is for information purposes only. The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice. It is important to perform your own research before making any investment and take independent advice from a registered investment advisor.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to accuracy, completeness, or the suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. The author will not be held responsible for information that is found at the end of links posted on this page.
Errors and omissions excepted.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.