Source: TradingView.com
Coinbase shares soared 24% on Tuesday following news the cryptocurrency exchange will be added to the S&P 500.
The stock forged an inverse head and shoulders pattern on the chart between March and May, with the price now staging a decisive breakout above the formation’s neckline.
Investors should watch key overhead areas on the Coinbase chart around $273 and $330, while also monitoring a major support level near $208.
Coinbase (COIN) shares skyrocketed on Tuesday following news the cryptocurrency exchange will be added to the S&P 500.
Coinbase, the largest crypto exchange in U.S., will replace Discover Financial Services (DFS) in the benchmark index before trading opens next Monday, marking a major milestone for the company, which went public in April 2021.
The inclusion comes less than a week after the company said that it had agreed to acquire Deribit, a crypto options exchange, for $2.9 billion in cash and stock, the same day it posted first-quarter earnings that came in below Wall Street expectations.
Coinbase shares jumped 24% on Tuesday to close at around $257. With that move, the stock has inched into positive territory for 2025, rebounding from an early-April low of around $142.
Below, we break down the technicals on the Coinbase chart and point out key price levels that investors will likely be watching.
Coinbase shares forged an inverse head and shoulders pattern on the chart between March and May, with the price staging a decisive breakout above the formation’s neckline on Tuesday.
Even before today’s rally, the stock had registered higher-than-average volume over the previous three trading sessions, indicating that larger market participants had accumulated shares in preparation for a significant price move.
Let’s identify key overhead areas on the Coinbase chart to watch amid the potential for further upside and also locate a major support level worth monitoring during possible declines.
The $245 level was a key area to watch coming into Tuesday’s session as it was near two…
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