Coinbase has become a key player in the US crypto industry, chosen to host Bitcoin ETFs by companies including BlackRock. This has pushed the company's shares to $250 this year. However, COIN shares plummeted 9.43% to $199, possibly due to increasing competition.

The company, led by Brian Armstrong, became a monopoly on storing Bitcoin ETFs, leading to revenue growth of 72% in the first quarter of 2024.

However, COIN stock began to decline along with the rest of the market, but still maintained a healthy level of over $200.

The likely reason for the stock's decline is not related to market movements, but to possible competition in local trading in the United States. The CME group is planning to introduce on-site Bitcoin trading services, which could take market share away from dominant forces such as Coinbase and Binance.

On a separate note, Cathie Wood's Ark Invest has been gradually selling off her COIN shares, which could also increase selling pressure.