COIN drops on selling Bitcoin price this weekend
- Bitcoin price fell 7.5% over the weekend.
- Investors are still making sense of new US crypto regulations released on Friday.
- COIN stock is starting the week directly on top of its 21-day moving average.
Coinbase Global (COIN) The share opened on Monday down about 4.1% to 70.95 dollars. Despite Bitcoin rallying in the premarket by going from $18,300 to $18,800, BTC lost about 7.5% from the close of the stock market on Friday to its lowest price early on Monday.
also read: Bitcoin price takes a slight detour, but is $25,000 scenario still valid?
While COIN stock has opened the week at the top of its 21-day moving average, it looks set to lose support at $70 and fall back to $62 if the price of BTC continues to slide.
Coinbase stock news
Coin base investors were thrown for a loop last week then The Biden administration issued an executive order telling financial agencies to crack down on financial fraud and scams in the crypto space. The White Houses ordered Securities & Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) to “aggressively pursue investigations and enforcement actions.” In addition, there is said to be ongoing talk about additional regulations for crypto exchanges that will directly affect Coinbase.
Pro-crypto lobbyists and much of the industry are pushing to get CFTC becomes the main regulator of crypto. However, this would just happen if crypto is uniformly labeled as commodity. The CFTC is perceived as having a less aggressive approach to regulation compared to Gary Gensler’s crypto-skeptic SEC.
In other news, CEO of Shopify, Tobi Lutkehave bought up COIN stock. Between August 23 and September 13, his automated trading strategy bought a total of 21,130 shares of COIN. Lutke sits on Coinbase’s board. The purchases, four in total, amount to an outlay of 1.5 million dollars. Lutke also bought for about $750,000 Coinbase stock earlier in August. It is estimated that he now owns approximately $3.9 million COIN stock.
Coinbase stock forecast
COIN opened right on the 21-day moving average, which is around $71.45 at the moment. Now that Coinbase stock trending below here, around $70.50, further weakness appears to be in store. This is a shame for bulls as the 9-day moving average recently jumped above the 21-day moving average. Now it will likely fall back to its bearish persuasion.
Mid-term support is at $62, which is where your author thinks COIN will go next. A consolidation is normally in order when Bitcoin suffers from a surprise weekend sale. The stock market is also in a risk-on mood ahead of the Fed interest rate announcement this Wednesday, so expect this weakness to continue.
COIN 1 Day Chart
