With high volatility, there is much fear and greed with fear and greed comes more trades and higher volume. Coinbase generates revenue from facilitating the trades made on its platform. High volatility means there is a lot of capital movement in and out of various cryptocurrencies. Additionally, from a Coinbase investor standpoint, volatility is a good thing for the company's bottom line.

While the highly volatile nature of cryptocurrencies will continue to keep investors on the sidelines, regulation should help in reducing volatility. This bodes well for active crypto investors, prospective crypto investors, and Coinbase's business. With government regulation, concerns will begin to taper, making crypto investments more attractive to those that wouldn't touch previously. Not to mention the amount of money that has been lost because of lost passwords, seed phrases, and keys. Cryptocurrencies have been used to facilitate numerous illicit activities, such as money laundering, trafficking, tax evasion, and theft. This comes as a big win for crypto advocates as many investors have avoided cryptocurrencies with concerns over the lack of regulation. However, last month, President Biden passed an executive order prompting financial regulators to work on the integration and regulation of cryptocurrencies. Much of Coinbase's shortfalls are tied to the speculation surrounding cryptocurrencies in general. (Note: All financial data was sourced from and Coinbase's FY21 annual report.) The macro-outlook for Coinbase looks promising, here's why Coinbase's financials look strong, and there are several qualitative aspects granting a promising outlook for the company. At current price levels, the stock has become too cheap to ignore. With cryptocurrencies still riddled with speculation, the stock is down roughly 61% from its listing price. Coinbase ( NASDAQ: COIN) has had a turbulent ride since its IPO in April of last year.

Outlook for coinbase stock