The GraniteShares 2x Long Coinbase Daily ETF (CONL) is experiencing a downturn, primarily driven by a significant decline in the price of its underlying asset, Coinbase Global Inc. (COIN). As of January 13, 2025, COIN's price has dropped by 4.25%, reflecting broader market trends affecting crypto-related stocks. The decline in Coinbase's stock is closely linked to the ongoing slide in Bitcoin prices, which fell below the $90,000 mark earlier in the day. This drop in Bitcoin is part of a broader sell-off in the crypto market, exacerbated by macroeconomic concerns such as stronger-than-expected U.S. employment data and the potential reintroduction of tariffs under the Trump administration. These factors have strengthened the U.S. dollar, putting additional pressure on cryptocurrencies and related equities.
The crypto market's bearish sentiment is further fueled by reduced capital inflows, which have decreased from $134 billion to $58 billion over the past month. This reduction in investment activity has led to a lack of liquidity, contributing to the downward pressure on Bitcoin and other cryptocurrencies. Additionally, the anticipation of the U.S. government selling a significant amount of Silkroad Bitcoin in the coming days has intensified market volatility. Analysts are also keeping a close eye on upcoming economic indicators, such as the Producer Price Index and Consumer Price Index, which could further impact the market's outlook.
The GraniteShares 2x Long Coinbase Daily ETF (CONL) is currently priced at $34.29, reflecting an 8.78% decrease from its previous close.