Coinbase, Circle underperform Big Tech as crypto stock slump deepens
Get the Finance newsletter
Daily finance — markets, central banks, M&A, the prints that move money. Free.
- Coinbase (COIN) and Circle (CRCL) have fallen 69% and 72% respectively from their all-time highs, steeper declines than Oracle, Salesforce, Netflix, and Palantir, which are down between 48% and 57% from their peaks according to The Kobeissi Letter.
- The S&P 500 has retreated just 3.5% from its recent high, underscoring a widening divergence between crypto equities and the broader US stock market.
- Bitcoin fell below $60,000 this week, extending its decline to more than 54% from its October peak, while Ether dropped to around $1,500 — roughly 69% below last year's high.
- Coinbase reported Q1 revenue falling 21% from the previous quarter and a loss of $1.49 per share, against analyst expectations for a $0.27 profit.
- 21Shares walked back its earlier forecast that Bitcoin's four-year market cycle had become obsolete, lowering its 2026 outlook while acknowledging institutional adoption continues to strengthen.
- Crypto-related equities remain under pressure amid uneven progress on comprehensive crypto market structure legislation in the United States and concerns that AI advances could disrupt existing tech business models.
Why it matters: Coinbase shareholders have absorbed a near-72% peak-to-trough wipeout while the S&P 500 sits just 3.5% off its high, a gap driven by Bitcoin's drop below $60,000 and Coinbase missing Q1 expectations with a $1.49 loss per share versus a forecasted $0.27 profit. With 21Shares now conceding Bitcoin's four-year cycle remains intact, crypto-equity bulls face both deteriorating company fundamentals and a historical pattern working against recovery.
Ask SkimNews
