Coinbase’s stock COIN is grossly undervalued at the current $245 level, according to Bank of America (BofA).
Following the late 2025 crypto market rout, related stocks such as COIN dropped by nearly half to a low of $225 from a high of $444.
Source: COIN, TradingView
However, the current muted levels present a significant buying opportunity, as BofA expects about a 40% upside potential to a $340 price target.
BofA’s bullish catalysts for COIN
The BofA’s rating was the second buy for COIN this week. Bernstein analysts issued another bold buying rating, with a 72% upside gain to $440.
For BofA’s analyst Jason Kupferberg, the upgrade on COIN from “neutral” to a “buy” was informed by the platform’s push towards an ‘everything exchange’ with recent product offerings.
He said,
“While the stock is off 40% from its July highs, under the surface of the 4Q25 crypto correction the company’s product velocity has increased, and its TAM expanded in parallel.”
The new products, including prediction markets and stocks/ETF trading, were positive for the stock, according to the analyst.
Kupferberg also highlighted Base’s monetization and the launch of Coinbase Tokenize as crucial moves that could give the exchange a lead in the tokenization boom.
“The world is still in the early innings of crypto adoption, and we see Coinbase as the trusted platform with #1 market share in the US, which makes it a perfect TradFi partner.”
Source: X
The pro-crypto Donald Trump Administration may also fuel the COIN’s rally. However, he cautioned that Binance US’s expansion and a deeper market correction could dent the bullish outlook.
That said, 20 Wall Street analysts have issued a buy rating for COIN, including BofA and Bernstein.
Source: MarketBeat
Tokenization ‘supercycle’ impact
Most analysts view the tokenization boom as a crucial catalyst and defining theme for the crypto industry in 2026. Regulators, including the SEC, have directed that much of the U.S. capital markets be moved on‑chain.
By 2025, tokenized stocks and ETFs had already built strong momentum and emerged as a “strategic priority” for Coinbase and other major U.S. exchanges.
For the unfamiliar, tokenized stocks or ETFs are an on-chain version of traditional equities or funds for global access. Although currently valued at around $1 billion, they are expected to surge after a clear regulatory framework is established this year.
Final Thoughts
- Bank of America projected COIN could hit $340, citing Coinbase’s new products and pro-crypto administration.
- BofA was the second bullish Wall Street rating this week after Bernstein, which eyed a +70% upside for the stock.
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