Bullish Reversal in Coinbase (COIN)
Is Coinbase Stock Ready to Break Out? A Technical and Macro Bull Case for COIN
Sometimes, the best setups come when a stock is hated, ignored, or forgotten. That’s exactly what I see with Coinbase (COIN) right now, a setup forming at a critical inflection point.
The Setup
After a harsh retracement from its recent highs near $270, COIN has been in a steady downtrend, finding temporary support just above the $180–185 level, which coincides with the lower boundary of a well-defined rising channel. The last few candles show signs of stabilization and a potential higher low forming, right on top of this dynamic support.
Overlay that with an RSI bouncing from oversold territory and volume tapering off (a common precursor to reversals), and we might be looking at the beginning of a structural reversal.
The idea
If COIN holds above $185 and reclaims the $210–215 zone, that would confirm a break back above the short-term moving averages (which are currently compressing).
This would open the door for a momentum push toward $230–240, where it faces its next confluence of resistance, both horizontal and from the 200-day MA.
If $240 is cleared, price could accelerate toward $270–280, which is the mid-channel resistance and previous local high.
The key trigger to watch is a daily close above $215 with volume. That’s the bull's green light.
Why it can go even higher
This move isn’t just about technicals. It’s about macro alignment, sentiment, and narrative:
Crypto Tailwinds
Coinbase remains the only large-cap, regulated gateway into U.S. crypto markets. With Bitcoin pushing all-time highs and ETF inflows ramping, there’s a second-order demand spike coming: not for tokens, but for infrastructure players like COIN. Think of it as the "picks and shovels" trade of this bull cycle.Short Interest & Sentiment Reversal
The stock has been hammered over the last few months, and sentiment is in the gutter. But here’s the catch, short interest is high, and options flow is starting to tilt bullish. A small catalyst (like BTC spiking or a regulatory headline) could spark a short squeeze.Technical Compression = Expansion Coming
Look at the moving averages, they’re coiling. Compression like this rarely lasts. When price escapes the squeeze, it usually does so with velocity.
The Trade Idea
Entry: Watch for a confirmed breakout above $215
Stop Loss: Below $180 support
Target 1: $240
Target 2: $270
Optional Moon Shot: $300+ $350, top of the long-term channel
Risk/reward on this setup could be 3:1 or better, especially if crypto tailwinds persist.
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Solid take, it just needs crypto to move.