Coinbase Global (NASDAQ: COIN) increments on December 22ndn.d. This follows news that famous investor Cathie Wood has stocked up on crypto stocks, which have been on the rise in recent months.
Last week, the founder and CEO of Ark Invest spent more than $26 million to accumulate more than 106,500 shares of COIN.
More importantly, she reduced her exposure to Tesla Inc. (NASDAQ: TSLA) to invest in Coinbase. This is important given her extremely bullish view on electric vehicle (EV) manufacturers.
Wood has repeatedly predicted that EV stock will rise to $2,600 by the end of this decade.
Therefore, her decision to sell TSLA stock to invest in Coinbase stock demonstrates her belief in Coinbase stock’s long-term rise as a core beneficiary of mainstream cryptocurrency adoption and infrastructure growth.
At the time of writing, the cryptocurrency company is down about 40% from its year-to-date high.
Should you invest in Coinbase stock too?
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Retail investors should consider following in Wood’s footsteps, especially as Coinbase Global acquires ‘The Clearing Company’ for an undisclosed amount to increase its presence in prediction markets.
The announcement makes sense for investors considering competitor Robinhood has recently entered the prediction market with great success.
“Predictions Markets is the fastest growing business we’ve ever had,” Steve Quirk, the company’s chief securities officer, said in a recent interview.
If Coinbase’s prediction market efforts gain similar traction, it’s reasonable to assume that the associated sales growth will significantly boost COIN stock in 2026.
Holding COIN stock is not expensive
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The clearing company deal is in line with COIN’s broader efforts to evolve into an “everything exchange,” which could justify a higher multiple for the crypto stock.
why? Diversifying its revenue beyond cryptocurrencies could provide some protection for Coinbase from the inherent volatility of that market.
As of this writing, the Nasdaq-listed company is aiming for roughly 10x sales, which is no small price for a company at the center of fast-growing sectors like cryptocurrencies and fintech in general.
Certainly, the moving average (MA) indicates continued bearish momentum, but Wood’s move could cause a ripple effect for global investors and help Coinbase stock reverse its technical setup.
Cryptocurrency stocks expected to double in 2026
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Peter Christiansen, a senior analyst at Citi, also believes that “everything exchange” will significantly boost Coinbase’s stock price in 2026.
Christiansen maintains a buy rating on the fintech giant with a price target of $505, indicating a potential upside of more than 100% from here.
He said the company’s recent focus on equity trading, AI-powered tools, prediction markets, and stablecoin infrastructure (USDC) will result in meaningful growth in total addressable market (TAM).
Additionally, utilities such as the x402 payment system and crypto lending will help move COIN from relying purely on transaction fees to a major financial “operating system.”
In other words, the company’s expansion into traditional finance (TradFi) through tokenization and on-off ramps will likely further deepen its competitive advantage, and the stock price will likely rise further next year, he concluded.
