What happened

Shares of the large cryptocurrency exchange Coinbase Global (COIN 7.75%) fell 2.35% in trading today for no obvious reason other than movement in general cryptocurrency prices and the broader market. 

So what

Most stocks in the cryptocurrency space tend to move with prices for broader cryptocurrencies such as Bitcoin (BTC 4.52%) and Ethereum (ETH 4.77%), which were up today before eventually falling. As of 4:25 p.m., Bitcoin had fallen 1.8% and Ethereum had fallen 2.1%.

Last Tuesday, Coinbase reported its second-quarter earnings with adjusted earnings per share of $3.45, significantly surpassing the $2.33 consensus estimate set by analysts. Revenue of $2.23 billion also beat the $1.78 billion consensus estimate from analysts for the quarter.

Despite the positive earnings results, management's guidance of lower trading volume in Q3 sent shares down following the beat.

Person looking at red squiggly line trending downward.

Image source: Getty Images.

Now what

Since going public in April, Coinbase is down nearly 26%. But many investors are still bullish on the stock. Recently, funds such as Tiger Global and the company Intel disclosed stakes in the company.

The 19 analysts that currently cover Coinbase have a median 12-month price target of $335 per share, which implies significant upside with Coinbase only trading at $250 per share. While I don't know if Coinbase will explode anytime in the immediate future, I do see upside over the long term.