- Published: 10 May 2022 10 May 2022
- Hits: 89 89
- Coinbase reported first-quarter earnings after the bell on Tuesday.
- The earnings come amid a major sell-off across the crypto market.
- Coinbase earnings missed analyst estimates and shares fell as much as 19% in extended trading.
Coinbase reported first-quarter earnings that missed analyst estimates after the bell on Tuesday. Shares fell as much as 19% in extended trading, before rebounding. The stock is now down about 14% after hours.
Here are the key numbers:
- Loss per share (EPS): $1.98
- Revenue: $1.17 billion, versus $1.48 billion expected, according to Refinitiv
Before the report, the stock had lost more than 60% of its value since late March, as a broader slide in tech stocks and the value of cryptocurrencies hit Coinbase particularly hard. Bitcoin dropped below the symbolic price threshold of $30,000 on Monday.
Overall, usage declined from the fourth quarter. Retail monthly transaction users (MTUs) fell to 9.2 million, down from 11.4 million in the fourth quarter, while total trading volume dropped from $547 billion in Q4 to $309 billion.
The company’s revenue dropped 27% from a year ago, and it also reported a net loss of $430 million in the first quarter.
But Coinbase doesn’t appear to be worried about its long-term prospects. The company doubled down on an argument that it has made before, reminding shareholders that its stock should be thought of as a long-term investment due to the volatile nature of cryptocurrency price moves.
“We believe these market conditions are not permanent and we remain focused on the long-term,” the company wrote in a letter to shareholders accompanying its earnings release. It also said that it’s focusing on the next generation of crypto opportunities beyond trading.
“While we continue to invest and enhance our core investment platform, the application era of crypto is upon us, led by NFDs and decentralized finance, and we are increasingly focusing our efforts on these market opportunities.”
Increased spending also helped to drag down the company’s bottom line.
General and administrative expenses were $414 million, up 39% compared to the prior quarter. Coinbase attributed the rise to higher expenses related to full-time and contractor-related headcount. The purpose of that spending, according to the company, was to “invest to strengthen and scale our customer support, legal, compliance, and business support functions.”
Read Full Article here: https://www.cnbc.com/2022/05/10/coinbase-coin-earnings-q1-2022.html
- Published: 09 May 2022 09 May 2022
- Hits: 98 98
support for Bitcoin BTCUSD? BTCUSD off
-20% in the last week alone! BTCUSD again
achieves a -50% price retracement. Huge Liquidations
on various Leveraged crypto exchanges....Whew!
Is time to "Buy the BTCUSD Dip"?
- Published: 09 May 2022 09 May 2022
- Hits: 113 113
The crypto market has been bouncing back and forth in the past few days. Over 124,003 traders saw more than $421 million liquidated in a 24-hour period as prices tumbled wildly throughout yesterday and today.
The crypto market is falling to new lows not seen since November. With a total loss of $421 million, Bitcoin (BTC) accounted for most of the losses, followed closely by Ethereum (ETH).
Crypto Traders Liquidations Figure
Most of these liquidations occurred on Binance, FTX, and Okex. As a result, Bitcoin traders lost 4,340 BTC worth $144 million, Ethereum traders lost 50,180 ETH worth $121.81 million, and LUNA traders lost 264,350 coins worth $15.99 million.
Other major cryptocurrencies showed relatively lower losses. Futures tracking Tron’s TRX saw $8 million in losses, followed by Solana’s SOL at $7.54 million. Dogecoin’s DOGE showed $7.24 million while Stepn’s GMT losses reached $6.93 million. Among other alternative currencies, Ripple (XRP) futures saw a loss of $6.1 million, followed by Appcoin (APE) at $5.95 million.
Crypto futures lost over $421 million in the past 24 hours. | Source: Coinglass
The 12 hours of liquidation figures show the losses of $286 million from all major cryptocurrencies.
According to Coinglass data, traders lost 77.5% ($327 million) of the total liquidation amount betting on longs. $129 million liquidations happened on Okex, while traders on FTX lost $107 million. Binance traders are on 3rd, losing $94 million in liquidations.
In case anyone isn’t aware of what futures “liquidations” are, it’s best to take a brief look at the workings of margin trading.
When an exchange closes a leveraged position, it’s called a liquidation. This happens when there is a partial or total loss of the trader’s initial margin. Liquidations happen mostly in futures trading. Because that only tracks asset prices, unlike spot trading, where traders own the actual assets.
Bitcoin has been on a downtrend since 5th May with a 15% decline in the past seven days | Source: BTC/USD chart from Tradingview.com Crypto Market Correlation
If we look at cryptocurrency prices from November 2021, they have gone down a lot. The total value of all cryptocurrencies has dropped by almost 50%. In November 2021, the total crypto market capital reached $2.79 trillion while now it is at $1.49 trillion according to Tradingview. Bitcoin market cap in November 2021 crossed $1.26 trillion, which is about 45% of the total market cap.
#HotResearch #Report on #Bitcoin #Stateofeconomy #FOMC #InterestRates and #StockMarket #priceaction #AMustread
- Published: 08 May 2022 08 May 2022
- Hits: 59 59
Ok, Readers, I am publishing some of my Research thoughts on #Bitcoin #Stateofeconomy #FOMC #InterestRates and the #StockMarket #priceaction.
Here is a link to the U.S. Dollar Index ($DXY) 103.65 +0.08 (+0.08%):https://www.barchart.com/stocks/quotes/$DXY/overview
As you can see the U.S. Dollar is in a very Strong Up Trend and has had a pivot point up since January 6th 2021 bottom.
Then we take a research look at the 30 Year Long Bond market. Here is a link to 300X TMF ETF, thus showing a -100 Strong Bear Market Trend...very rare to be in this state. https://www.barchart.com/etfs-funds/quotes/TMF/overview
Then we take Research look at the Bitcoin BTC BTCUSD market price action. https://www.barchart.com/crypto/quotes/%5EBTCUSD/overview Notice also that the market trend is -100% for Bitcoin BTCUSD also!
Then we finally take a Research look at the stock market S&P 500 SPY ETF: https://www.barchart.com/etfs-funds/quotes/SPY/overview The S&P 500 is also -100% Negative Down Trend.
This is my perspective: The markets that are -100 Negative should reverse? Is Bitcoin BTCUSD oversold here at $34,233.41? Better yet, Does Bitcoin BTCUSD actually change in value and its price \ value is actually "Static", just like physical .999 gold bullion? My personal opinion is that Bitcoin BTCUSD value always remains the same and that every other asset mentioned above actually reflects different prices?
Also, Bitcoin BTCUSD is now again, rather close to its -50% price retracement price again! Very interesting financial time indeed...Cant fight the FED?