- COIN stock has tumbled during the ongoing crypto winter.
- Analysts expect the upcoming numbers to show that its revenue dropped.
- While CONY ETF has a 66% dividend yield, its outperformance is minimal.
Coinbase stock price continued its strong downward trend this week and is now hovering slightly above the crucial support of $142.5. COIN has slumped by 68% from its 2025 high. So, is the 66% yielding YieldMax COIN Option Income Strategy ETF (CONY) a good buy?
Coinbase Stock is Falling Amid the Crypto Winter
Coinbase, the biggest crypto exchange in the United States, has been under pressure in the past few months as the crypto winter accelerated. Bitcoin has plunged from a record high of $126,300 to $59,100. Ethereum has also retreated from nearly $5,000 to $1,500 today, with the market capitalization of all coins falling by over $2 trillion.
The ongoing crypto winter has led to a substantial retreat in trading volume on centralized and decentralized exchanges, a trend that will lower their transaction costs. Indeed, the most recent results showed that its transaction revenue dropped to $776 million. Its total revenue fell from $2.03 billion to $1.43 billiuon.
Coinbase stock is also facing major challenges as the USDC stablecoin volume continues falling. Data shows that the USDC market capitalization dropped from $80 billion to $74 billion. This retreat means that Coinbase will make less amount of money because of its partnership with Circle.
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Top Wall Street analysts believe that the company’s revenue will remain under pressure this year. The average estimate is that its annual revenue will drop by 14% this year to $6.15 billion. The real figure will likely be worse than this since Bitcoin and other altcoins have fallen further than expected.
Technicals also suggest that the COIN stock has retreated from a high of $445 to $142. It has slumped below the 61.8% Fibonacci Retracement level of $190. It also remains below the 50-week moving average and hovers above the key support at $139. A move below that level will signal further weakness, potentially down to $100.
COIN stock chart | Source: TradingView
Is CONY a Good Alternative to Buy?
The YieldMax COIN Option Income Strategy ETF (CONY) has become a good alternative to Coinbase shares. While Coinbase does not pay a dividend, CONY has a dividend yield of 65%.
CONY does this by taking indirect exposure to Coinbase shares and then writing call spreads to harvest option premiums from COIN’s volatility. By doing this, the fund aims to provide weekly dividends while exposing investors to gains in Coinbase shares.
In theory, CONY ETF should outperform Coinbase by a wide margin during a bear market. However, in reality, as we saw with other large covered call ETFs, the outperformance in bear markets is usually minimal.
CONY has had a total return of -33.46% this year, better than COIN’s -35 %. The same happened in the last 12 months, as CONY stock dropped by 57% compared to COIN’s 59.9%.
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