Despite a positive start to the week with news of Coinbase partnering with asset managers on new bitcoin exchange-traded funds, the company's shares ended Wednesday down almost 2%. This was due to a downgrade from analysts at Piper Sandler, who cited uncertainty around future revenues.

Despite facing a lawsuit from the SEC, Coinbase has been chosen as a custodian by BlackRock for its spot bitcoin ETF, and other issuers such as Fidelity have identified the exchange as a partner in their plans. The stock has still appreciated by 133% since the start of the year.