Robinhood, Coinbase Lead Crypto Stock Plunge as Investors Fret Over Macro Concerns

Shares of Robinhood and Coinbase have experienced significant declines as investors remain uneasy over macroeconomic uncertainties, including a prolonged government shutdown, which is now in its 37th day. Robinhood's stock fell over 9% at one point before closing down more than 7%, despite the company's recent positive earnings report. Coinbase also saw its shares plummet by over 6%. The overall negative sentiment in the crypto market is exacerbated by disappointing U.S. jobs data and escalating trade tensions, impacting broader market dynamics. Analysts have noted that while these macroeconomic factors may not directly affect many crypto stocks, they contribute to an increased risk premium across the market. Popular cryptocurrencies are trading lower as Bitcoin hovered around $101,000 after recently hitting a peak above $126,000 a month ago, representing a significant decline of approximately 18%. Ethereum also faced a decrease of 3.6%. These downturns are occurring against the backdrop of expected legislative advancements in the crypto space that remain stalled due to the government shutdown, removing catalysts for price rallies.

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