Bernstein suggests that the 60% decline in cryptocurrency stocks presents a unique opportunity to purchase at a significant discount.

The brokerage indicated that cryptocurrency equities trading at significant discounts are nearing a bottom ahead of weak first-quarter results, adjusting price targets for Coinbase, Robinhood, and Figure.

Bernstein identifies Q1 low for cryptocurrency equities; adjusts targets for Coinbase, Robinhood, and Figure. (Unsplash)

Key points:

• Bernstein anticipates a bottom for cryptocurrency equities prior to Q1 earnings following a ~60% decline from 2025 peaks.
• It has reduced its price targets for Coinbase, Robinhood, and Figure, despite a positive long-term growth perspective.
• The brokerage emphasized robust multi-year growth linked to stablecoins, tokenization, and derivatives.

According to Wall Street broker Bernstein, crypto-related equities are nearing a low as they approach first-quarter earnings. The sector has experienced a roughly 60% decline from 2025 highs, resulting in “significant businesses at significant discounts.”

"The interplay of geopolitical factors and a temporary downturn in crypto sentiment is providing substantial discounts on crypto stocks," the analysts led by Gautam Chhugani stated in their Monday report.

The brokerage foresees short-term weakness continuing through Q1 results but considers current valuations as an opportunity to invest in companies connected to substantial and expanding markets, such as stablecoins, tokenization, prediction markets, and derivatives.

Since reaching its peak in October 2025, the cryptocurrency markets have faced a sharp and prolonged correction, with Bitcoin declining approximately 40%–50% from record highs near $126,000 and the overall market value of digital assets dropping by about $2 trillion.

This selloff, influenced by a combination of macroeconomic pressures, regulatory ambiguity, and the unwinding of leverage, has diminished much of the gains from the previous bull market and significantly impacted crypto-linked equities, resulting in a more cautious sentiment as 2026 approaches.

In this context, the analysts adjusted their price targets while maintaining a positive long-term outlook. The brokerage upheld outperform ratings for Coinbase (COIN), Robinhood (HOOD), and Figure (FIGR).

It has lowered its price target for Coinbase to $330 from $440, for Robinhood to $130 from $160, and for Figure to $67 from $72. At the time of publication, Coinbase traded at approximately $165.50, Robinhood at $67.10, and Figure at $31.14.

The analysts noted that a mixture of macroeconomic uncertainty and subdued crypto sentiment has pressured valuations but anticipate a turnaround as earnings clarify fundamentals and sentiment stabilizes throughout the year.

This analysis follows the broker’s assertion last week that Bitcoin has likely reached its bottom and is poised for additional gains, reiterating its year-end price target of $150,000.

Read more: Wall Street broker Bernstein identifies Bitcoin bottom, maintains $150,000 year-end target