Key Insights:
- Goldman Sachs upgraded COIN from Neutral to Buy.
- The analysts noted that Coinbase has diversified its revenue stream and is primed for long-term growth.
- Coinbase’s stock rose by 8% to $255 as Goldman Sachs analysts set a price target of $303.
Analysts at Goldman Sachs, led by James Yaro, have upgraded their rating on publicly traded crypto exchange Coinbase from Neutral to Buy. The upgrade comes amid the recent turnaround in the crypto market.
Bitcoin recently reached $94,000, its highest price since December 9. While it has now dropped to $93,000, the positive performance has led to other crypto assets seeing gains.
Goldman Sachs Selectively Optimistic About Crypto Infrastructure Business
This was not the main reason behind the upgrade by the investment bank analysts. Instead, they pointed to recent product launches by the exchange, including its crypto infrastructure business.
Coinbase has made efforts to expand beyond crypto trading as part of its everything exchange move. This culminated in the launch of prediction markets, Solana DEX, equities trading, and other financial products in December.
For the analysts, this diversity of products also means multiple growing revenue streams for the exchange. They expect this to boost its long-term margins along with its other businesses, such as staking and custody.
Interestingly, the bullishness is not reserved for just COIN but is part of the general outlook for the crypto infrastructure business in 2026. The researchers noted that they expect more regulatory reforms, broader adoption, and more use cases.
They wrote:
However, the analysts also warned that failure of regulatory efforts could have a devastating impact on the crypto sector in 2026. They noted that the success of the market structure bill would be crucial for the crypto ecosystem, and the “bill failing to pass could be a substantial headwind.”
Coinbase Stock Gains 8% After Goldman Sachs Call
Meanwhile, the analysts have also adjusted their price target to $303. This would require COIN to increase by 34% from its recent low of $225 as of December 31.
The stock has already shown a positive sign with an 8% gain today, marking a resurgence for the stock that has been in free fall. While it is now trading around $255, the stock is still a far cry from the over $400 it reached just six months ago, in July 2025.
Still, the endorsement by Goldman Sachs is a welcome development for stockholders who hope to see more gains.
Interestingly, another banker, Barclays, also maintained its Hold rating for COIN while setting a price target of $291. Barclays analyst Benjamin Budish, with a 64.38% success rate on stock calls, wrote the report.
The moderately optimistic position is not surprising, as even Goldman Sachs analysts noted that the exchange might face short-term headwinds. They point to the growing competition and sensitivity to interest rates. However, they expect the exchange to survive this and thrive in the long term.
Oluwapelumi Adejumo is an experienced cryptocurrency journalist who has contributed to leading blockchain news platforms, including CryptoSlate and BeInCrypto.
