Is Coinbase Losing its Shine? Investor Jim Cramer Thinks So

The value of Coinbase Global Inc (NASDAQ: COIN) has recently fallen by almost 30%, but Jim Cramer, a well-known investor, does not consider it a good investment opportunity.
Cramer expressed his disappointment with the crypto exchange’s lack of inflows during the recent bank failures on CNBC’s “Squawk Box.”
He thought that Coinbase would have benefited from the failure of other banks and attracted more investors, but it did not happen. Therefore, he would not invest in it.
Coinbase recently received a Wells notice from the Securities and Exchange Commission for violating US securities laws. Despite this, Coinbase stock is still up 90% year-to-date.
On Thursday, a Bank of America analyst reported that Coinbase’s transaction volumes remained flat during Q1 and that the company missed consensus estimates by $24 billion.
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This is notable because transaction volume contributes significantly to its revenue. Jason Kupferberg also reported a 6% decline in app downloads and reiterated his “underperform” rating for Coinbase stock.
He added that USDC‘s market cap had fallen 24% since the bank crisis began, which could add risk to interest income estimates over the next few quarters.