Robinhood Stock Faces Worst Week Since August 2024 Drop

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  • Robinhood faces its worst week since August 2024, with analysts warning that its stock may struggle without a fresh catalyst.
  • Despite setbacks, the platform’s crypto trading volume is expected to triple by 2026, reinforcing its growing role in the digital asset market.

Robinhood is back in the headlines, but not due to a significant increase in crypto trading. Its stock has dropped drastically and shows its lowest week since August 2024, according to Bloomberg.

Following a spike driven by the enthusiasm of Donald Trump’s re-election, the stock of the platform has lost pace, leaving many investors wondering: is this merely a pause or the start of a more general trend?

Robinhood Faces a Reality Check After Crypto Boom

Robinhood is currently living a hard reality following a significant increase in income from cryptocurrency trading. Its stock dropped more than 12% last week, today it sits at about $51.60. Some analysts claim the post-Trump frenzy has faded, leading investors to begin unwinding their gains.

With earnings per share at $1.01 and income of $1.01 billion recorded in the fourth quarter of 2024, Robinhood said remarkably, more than half of that rise came from crypto trading—up over 700% year over-year. The increase was obviously much influenced by Bitcoin’s near $100,000 milestone at the time.

There are, nevertheless, low times like with every roller coaster. Analysts from Citigroup and Wolfe Research caution that Robinhood’s stock price could already reflect its greatest expectations, so it will be tough to keep increasing without a new catalyst.

Crypto Revenue Set to Eclipse Traditional Trading

For Robinhood, however, there is not entirely negative news. According to a Bernstein report, by 2026 platform crypto trading volume will triple. Should this forecast come true, Robinhood will surely become even more well-known as a major player in the crypto market.

The same report also forecasts that income from crypto transactions would outshine income from non-crypto trading in the next few years. Given that more and more people are depending on digital assets as their main investment decision, this is not only conjecture.

Robinhood also has big outside US expansion ideas. Using Bitstamp’s MAS license, CNF reports that by the end of 2025, the platform will open crypto trading services in Singapore. This move fits the company’s plan to increase its global presence by introducing futures and options trading in Asia and the UK.

Can Robinhood Ride the Next Crypto Wave?

Robinhood’s stock is under pressure right now, but it does not portend a hopeless future. If there is a new catalyst, the company’s stock can climb fast, much like the crypto market is notorious for being volatile.

Robinhood still has a lot of chances to grow with hopeful development forecasts, market penetration, and ongoing evolution of the crypto ecosystem.

Meanwhile, as of press time, BTC is swapped hands at about $96,397.66, corrected 2.16% over the last 24 hours and 5.68% over the last 30 days. This drop made its market cap slip below the $1.95 trillion mark.

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