Analyst Blockchain stock could reach $70

  • On Tuesday, Atlantic Equities upgraded blockchain Global to “overweight”.
  • In a research note to clients, analyst Simon Clinch explained why.
  • The blockchain stock has already risen more than 80% since the beginning of the year.

According to Simon Clinch, an analyst at Atlantic Equities, blockchain Global Inc is still the “best expression of crypto”.

The blockchain stock could rise by 20%

Clinch upgraded the crypto exchange to “overweight” on Tuesday. His price target of $70 suggests a potential upside of close to 20% from the current level.

He is bullish on the blockchain stock partly because the company has surpassed expectations in terms of cost-cutting measures. Although risks such as regulation and recession remain, Clinch wrote in his research note:

“These actions are building resilience in the business model… blockchain’s recent actions allow investors to look through toward the longer-term opportunity.”

As of now, the Nasdaq-listed firm has already risen more than 80% year-to-date.

Blockchain had a strong first quarter

Recently, blockchain launched a Bermuda-based exchange that is currently only available to non-U.S. institutional users interested in Bitcoin and Ethereum perpetual futures.

Also in May, the crypto exchange reported financial results for the first quarter that exceeded estimates as blockchain Prime recorded record volumes. According to Clinch:

“Blockchain is regaining custody asset share and is also leveraging its trust credentials to exercise pricing power – both important steps towards building resilience in the model.”

However, investors interested in buying blockchain stock today should remember that this crypto firm received a “Wells Notice” from the U.S. Securities and Exchange Commission (SEC) in March.