COIN hit a new low of $39.65 at the start of trading on this Monday.
The price has fallen 60% from its all-time high of $98 in early August.
Last week, Brian Armstrong, CEO of cryptocurrency exchange Coinbase, predicted that the company’s income for 2022 will be “50% or less” than that of 2021. COIN hit a new low of $39.65 at the start of trading this Monday.
The price has fallen 60% from its all-time high of $98 in early August when the exchange saw a brief surge due to the announcement of its collaboration with BlackRock. At the time, with assistance from Coinbase Prime, the asset management behemoth started providing institutional access to Bitcoin trading and custody via its Aladdin platform.
Surviving During Prolonged Winter
However, Coinbase has been steadily losing money this year, with an 83% decline over the previous 12 months. Troubles are nothing new for the crypto sector as a whole, which has been hit hard by a collapsing market and macroeconomic headwinds.
As of the 12th of December, Silvergate, a fintech bank, was trading at $21, down 86% from $139 a year before. While this was going on, Core Scientific, a publicly listed Bitcoin mining company that traded for over $10 in 2021, had its share price drop to $0.13 in late October after disclosing its approaching bankruptcy.
Coinbase (18% of personnel), OpenSea (20%), and most recently Kraken (30%) are just a few of the companies in this industry that have had to implement widespread layoffs to survive the bear market.
Nevertheless, ARK Invest, led by Cathie Wood, is keen to dare in the turbulence as a crypto-bullish firm. The technology-focused money manager recently purchased 78,982 COIN shares at about $40 per. That makes a total of 5.7 million shares owned by it.