8 hours ago
The speech is the archetypal and lone crypto institution to articulation the S&P 500 index.
May 13, 2025, 2:00 p.m.
Crypto speech Coinbase (COIN) is soaring 16% aboriginal Tuesday aft the Monday evening announcement of its inclusion into the S&P 500.
COIN volition beryllium added to the S&P 500 scale aft the adjacent connected Friday, replacing Discover Financial Services (DFS) which is being acquired by Capital One (COF).
Wall Street brokerage Bernstein estimates the determination could pb to astir $16 cardinal of buying unit for Coinbase — astir $9 cardinal from passive funds linked to the S&P 500 and $7 cardinal from progressive allocations.
Coinbase is the "first and lone crypto institution to articulation the S&P 500," analysts led by Gautam Chhugani wrote.
Chhugani has an outperform standing connected Coinbase shares with a $310 terms target, oregon astir different 30% upside from the existent $240.
Investment slope KBW estimates that S&P 500 passive funds volition request to bargain 36 cardinal Coinbase shares for scale inclusion, which is astir 4 days of mean buying volume.
KBW further noted that arsenic of April 30, 9.9 cardinal Coinbase shares were held short, which is 1.4 days to cover.
"Since 2017, fiscal 500 adds person outperformed by 5.2% connected the time aft announcement," KBW said, and Coinbase's summation could pave the mode for different crypto firms to articulation the index.
Read more: Coinbase Shares Jump 8% connected S&P 500 Inclusion
Will Canny
Will Canny is an experienced marketplace newsman with a demonstrated past of moving successful the fiscal services industry. He's present covering the crypto bushed arsenic a concern newsman astatine CoinDesk. He owns much than $1,000 of SOL.
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