Wall Street bank Citigroup has updated its coverage of digital asset stocks to reflect crypto’s recent widespread declines, but remains constructive on the sector.
“Despite recent token volatility, we remain bullish on digital asset stocks,” analysts led by Peter Christiansen wrote in a report released Friday.
Issuer of the USDC stablecoin, Circle Financial (CRCL) remains Citi’s top pick, with the team reiterating its $243 price target even after the stock’s recent sharp decline to the current $83.60.
Christiansen’s next top picks were Bullish (BLSH) and Coinbase (COIN). “We see BLSH in the ideal situation benefiting from the growing participation of institutions (especially in the US) and TradFi,” he wrote. BLSH’s price target was lowered from $77 to $67, still a considerable upside from the current $44. The price target for COIN was maintained at $505 from the current $242.
The Buy Strategy (MSTR) also received a reduced price target following its recent drop to the $160 area. The new price target of $325 versus $485 previously still suggests ~100% upside.
The bank also remains positive on Bitcoin miner Riot Platforms (RIOT), while reducing its price target from $28 to $23. Riot recently changed hands at $14.
The team further lowered its price target for Gemini (GEMI) from $16 to $13, citing “increasing competitive challenges.” Shares were trading at around $11 as of Friday morning.
Read more: Bitcoin weakness sends warning to stocks, but liquidity could change soon, says Citi
