Coinbase’s Mobile App Download Deteriorates as Investors Keep Tabs on Q1 Report

Coinbase UI usdc

Ahead of the hotly anticipated quarterly report by crypto exchange Coinbase, research has shown that the exchange’s recent mobile app download trend might concern investors. The report, released by app-related research firm Apptopia on Thursday, shows that downloads for Coinbase’s app continue to decline despite the sensational market recovery so far this year.

Apptopia’s reports also revealed that even though Coinbase made headlines frequently in March due to its fight for more transparent regulation in the US, the exchange’s app usage didn’t quite translate to this popularity. A shocking decline in Coinbase’s app usage was noted, as usage dropped significantly in March after a boost in January and February.

A Cause for Concern?

The presentation by Apptopia’s VP of Research, Tom Grant, created more concerns for Coinbase investors than raised their hopes. Charts shared by Grant revealed that the exchange’s app download is continually declining despite positive trading volumes.

According to the report, app downloads on all platforms for Coinbase dropped slightly below 2 million, having maintained that threshold even in challenging market conditions. Trading volume, however, is near $30 billion, a significant boost reflecting Bitcoin’s recent uptrend.

Both power and casual users of Coinbase’s app also saw reduced in-app activity in the last quarter. A report from Apptopia showed that the sage surge among power and non-power users in January and February, respectively, saw a major downturn in March. The power users constitute 20% of the exchange’s customer base but account for 80% of the app’s usage.

Not the Full Story

The app download and usage decline, however, does not fully reveal the performance of Coinbase. The exchange has made several expansions in the year’s first quarter and is looking financially strong despite the recent bank fallout resulting in its major income stablecoin USDC depeging.

According to predictions from analysts, Coinbase will post a net loss of $329 million in its first quarter report, a $228 million loss difference from its declaration from the 2022 fourth quarter.

Your crypto deserves the best security. Get a Ledger hardware wallet for just $79!

Market Analysis
Liked Reading? Share with Friends
Facebook
Twitter
LinkedIn
Telegram
Reddit