Summary:
Citigroup maintains a neutral stance on Gemini (GEMI) while lowering its price target to $23, citing slower-than-expected user growth despite aggressive marketing. Meanwhile, Bullish (BLSH) received a price target boost to $77 due to regulatory wins and institutional adoption. The divergence reflects contrasting crypto exchange trajectories amid shifting market conditions.
What This Means for You:
- Trading strategy: Consider BLSH’s stronger momentum but monitor GEMI for potential turnaround plays if card adoption accelerates
- Risk management: Both stocks carry high-risk ratings – position sizes should reflect volatility expectations
- Regulatory awareness: Bullish’s BitLicense advantage demonstrates how compliance unlocks institutional capital flows
- Warning: Crypto exchange valuations remain highly sensitive to trading volume fluctuations and macroeconomic conditions
Gemini’s (GEMI) Price Target Trimmed to $23; Bullish (BLSH) Upped to $77:
Crypto exchange Gemini (GEMI) is still a waiting game, said Wall Street bank Citigroup.
Led by analyst Peter Christiansen, the bank’s analyst team reiterated its neutral and high-risk call on GEMI, while trimming the price target to $23 from $26. GEMI is higher by 5.5% on Friday to $20.60.
While Gemini’s marketing push has been impressive, particularly around the Gemini Card and its app downloads, said Christiansen, the impact on the exchange’s user base and engagement will likely take longer to materialize.
Early data from October points to trading volumes that are only marginally above September and weaker than July or August, he continued. That’s disappointing given the hype surrounding the XRP co-branded card that launched ahead of Gemini’s IPO.
The new price target still implies a 45% discount to Coinbase’s (COIN) expected 2027 enterprise value-to-sales ratio.
Bullish PT lifted
Citing accelerating momentum following the Bullish’s (BLSH) New York BitLicense approval and expanding institutional access, Christiansen and team raised their price target on the company stock to $77 from $70. That implies nearly 40% upside from the current price of $55.62.
The bank reaffirmed its buy/high risk rating, noting Bullish’s position at the forefront of the next wave of crypto adoption as regulatory clarity improves for traditional finance players.
Bullish is the owner of CoinDesk.
Read more: Crypto Exchange Gemini Launches Solana-Themed Credit Card With Auto-Staking Rewards
Extra Information:
Gemini’s S-1 Filing reveals detailed financial metrics about their card program adoption rates.
NYDFS BitLicense Requirements explains the regulatory hurdles Bullish overcame for expansion.
People Also Ask About:
- Why did Gemini’s price target decrease? Slower-than-expected user growth despite card launch and marketing spend.
- What makes Bullish attractive to institutions? Regulatory compliance infrastructure and enterprise-grade trading tools.
- How do crypto exchange valuations compare? Typically based on trading volumes, user growth, and regulatory positioning.
- When will Gemini see card program benefits? Likely 2-3 quarters based on traditional fintech adoption curves.
Expert Opinion:
“The divergence between these exchanges highlights a market bifurcation,” says blockchain analyst Maria Rodriguez. “Investors now clearly reward regulatory readiness over retail growth metrics, which could reshape how exchanges allocate capital moving forward.”
Key Terms:
- cryptocurrency exchange valuation models 2025
- Gemini Card adoption rate analysis
- Bullish BitLicense institutional advantages
- crypto exchange enterprise value/Sales comparisons
- regulatory-compliant trading platform growth
ORIGINAL SOURCE:
Source link
