Coinbase Rises After JPMorgan Upgrade on Base Token, USDC Rewards & Echo Acquisition
JPMorgan Chase has upgraded Coinbase (COIN) from neutral to overweight, raising the price target to $404 and sparking a near 10% jump in shares. The bank cited new revenue streams from a future Base Layer-2 token—projected to tap a $12–34 billion market, with $4–12 billion accruing to Coinbase—and an updated USDC rewards program that limits high-yield interest to Coinbase One subscribers, possibly adding $374 million in annual net interest income. Analysts also note a Base DEX aggregator integration and strategic moves including the $375 million acquisition of Echo and partnerships with Google to expand regulated crypto fundraising and services. Ahead of Q3 earnings on October 30, consensus estimates are $1.06 EPS (+71% YoY) and $1.74 billion revenue (+44%), driven by stablecoin growth, subscription services and clearer regulation—boosting investor confidence in Coinbase’s long-term outlook.
Bullish
The upgrade by JPMorgan and revised revenue forecasts signal renewed investor confidence, likely driving COIN demand in the near term. The Base token’s potential market value and enhanced USDC interest margin, combined with strategic acquisitions like Echo and partnerships, support a stronger long-term growth outlook. Anticipated Q3 beat further underpins bullish sentiment, making this a positive catalyst for Coinbase’s price.