TLDR
- Coinbase stock plunged 9% on Monday as Bitcoin crashed below $92,000 and Ethereum dropped under $3,000 during a crypto market rout
- Over 140,900 traders were liquidated in the selloff, raising concerns about Coinbase’s fee-based revenue model
- Insiders executed 245 sales totaling over $658 million in six months with CEO Brian Armstrong selling $478 million worth of shares
- Institutional activity showed 857 funds adding shares while 513 reduced positions in recent quarters
- The company maintains a strong growth score of 94.98 despite the sharp decline and heavy insider selling
Coinbase stock took a hit on Monday, dropping 9% as cryptocurrencies tumbled across the board. Shares closed down 7.95% at $261.43.
Bitcoin fell below the critical $92,000 threshold, reaching its lowest level in more than six months. Ethereum lost the $3,000 support level while other major tokens like XRP and Dogecoin followed the downward trend.
The selloff liquidated over 140,900 traders. Mass liquidation events like this typically erode investor confidence and spark concerns about prolonged market weakness.
Coinbase’s business model faces direct pressure from crypto price declines. The exchange generates revenue primarily through transaction fees, which drop when prices fall and trading activity slows.
Monday’s trading volume for Coinbase reached $2.65 billion. The stock ranked as the 60th most-searched ticker on Quiver Quantitative out of more than 10,000 securities tracked.
Recent Wins Fail to Provide Support
The stock decline came despite several positive developments for Coinbase. The company delivered a strong third-quarter earnings beat, driven by its “Everything Exchange” strategy.
Coinbase announced a partnership to power JPM Coin using its blockchain infrastructure. The exchange also rolled out a new pre-listing token access platform.
These announcements couldn’t offset the negative sentiment from the crypto market crash. Investors focused on potential revenue headwinds rather than strategic initiatives.
Insider Activity Tells One-Sided Story
Company insiders have been consistent sellers over the past six months. Records show 245 total sales with zero purchases during this period.
CEO Brian Armstrong topped the list, selling 1.3 million shares worth approximately $478.4 million. Co-founder Frederick Ehrsam offloaded 365,779 shares for $113 million.
President and COO Emilie Choi sold 100,000 shares valued at $31 million. Chief Legal Officer Paul Grewal dumped 70,322 shares worth $21.2 million. CFO Alesia Haas sold 35,359 shares for $11.4 million.
Other executives followed suit. Chief People Officer Lawrence Brock sold 11,805 shares for $3.4 million. Director Frederick Wilson sold 10,000 shares worth $3 million. Chief Accounting Officer Jennifer Jones sold 5,209 shares valued at $1.5 million.
Institutions Remain Divided
Institutional investors showed conflicting views on Coinbase’s future. Recent quarterly filings revealed 857 funds increased positions while 513 decreased holdings.
Clear Street LLC made the biggest addition, expanding its stake by 708.5% with 2.3 million shares worth $807 million in Q2 2025. Vanguard Group added 2 million shares in Q3 2025, representing an 8.3% increase valued at $677.6 million.
BlackRock raised its position by 6.8% with 1 million shares worth $347.7 million. UBS Asset Management Americas boosted its stake by 69.2%, adding 872,000 shares valued at $294.3 million.
Sellers included Clear Street Derivatives, which eliminated its entire 2.3 million share position worth $806.6 million in Q2 2025. A16Z Perennial Management sold its complete 1.5 million share stake valued at $516.5 million in Q3 2025.
Jane Street Group reduced its position by 98.2%, selling 872,494 shares worth $294.5 million. The stock maintains a Benzinga Edge growth score of 94.98 despite Monday’s decline.
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