Polygon And Uniswap Weekly Winners As Coinbase Stock Remains Near Lows
Last Updated on 31 May 2021 by CryptoTips.eu
Although it’s been an overall bad week for Bitcoin, which still looks for a bottom from where to climb back up again, there have been a few notable winners in the past seven days as well, namely Polygon and Uniswap which are both featured in the CoinMarketCap top 20.
Meanwhile, as Bitcoin undergoes a crypto correction, Coinbase is trying to launch a media arm for itself to fight back against all the negative stories.
Winners of the week
Although Bitcoin remains on the lookout for support from where it can try and climb back up to higher technical levels again, not all is doom and gloom in the CoinMarketCap top 20.
Two of the more notable winners were MATIC (up 35% this week), the native coin of Polygon, and Uniswap (up 35% this week), the coin of the Uniswap platform. Polygon has been able to attract a well-known new investor, as billionaire Mark Cuban recently admitted he started following the coin.
NEW: @mcuban has made an investment in Ethereum scaling platform @0xPolygon. $MATIC@zackseward reportshttps://t.co/L3pz0D3D5S
— CoinDesk (@CoinDesk) May 25, 2021
Media Company
Meanwhile Coinbase, the darling of Wall Street back in April when it launched an IPO, remains near its lowest levels. In order to remedy this, the crypto exchange is now starting its own media department. With that, CEO Brian Armstrong must have checked Rupert Murdoch’s holdings. The Coinbase boss, seeing that (as he insists is true) the New York Times consistently reports negatively on his crypto platform ever since he decided not to take sides in the 2020 Presidential Election, announced last week his company would be setting up their own media platform to contradict any negative news.
As such, Armstrong does the same as Murdoch who’s been supporting the New York Post, a loss making tabloid journal for years, simply to have an outlet to hit back at any political enemies he dislikes.
Dan and I have thoughts on @brian_armstrong's plan to "publish the truth" at @coinbase https://t.co/JaKE1ZsKuM
— Jeff Roberts (@jeffjohnroberts) May 29, 2021
The cryptosphere reacted with surprise over Armstrong’s decision though, as installing your own media company simply to react to negative news sounds like you are starting a PR firm rather than a media outlet.
Wall Street guidance
Although Coinbase stock has so far not performed fabulously since its IPO started in April, Wall Street firms like JP Morgan and Goldman Sachs remain highly bullish on the company, with both of them giving high price targets for the end of year.
However, stories like the alleged dumping of shares by executives and the announcement this week that Armstrong wanted to setup his own media outlet to battle such stories make it a hard sell.
It comes as Coinbase shares are trading near the $250 mark, way off the levels of almost $400 that were seen at it’s launch six weeks ago. In the beginning, before the Bitcoin correction that started mid-May, there was a rumor that the fact that Coinbase did not trade Doge was part of the reason, but as it’s stock has remained low since then, questions are now being raised about wider problems for the Armstrong company.
Still, CFO Alesia Haas came out strong in an interview defending Q2 forecasts.
I think that those who were new to this space may have under estimated the volatility that we can see in this market. But crypto is volatile, and we have to remember this is a really young industry and a very nascent asset class. So while we have seen a lot of volatility, we have been dealing with this since the very beginning.
As Bitcoin corrected and lost 40% since it’s all-time-high, Coinbase stock has also found it hard to climb out of the bottom it finds itself in.
Still, Ms Haas remains positive, stating:
There’s a lot of interest in crypto. We shared it on our first earnings call just recently, with the momentum we saw in Q1 had continued into Q2 and we are optimistic at this point that we are going to see similar levels of excitement in volume on our platform that we saw in the first quarter.