Is it a good time to buy Coinbase Global, Inc. COIN?
The stock is close to $240. The last two times it fell to this important level, it found support and rallied. There’s a chance it does so again.
Support is a large concentration of buyers looking to pay the same price for shares. In this case, it’s $240. At support levels, there is more than enough demand to absorb all of the shares that are for sale. This is why sell-offs end when they reach them.
Sometimes, when a stock is at support, other investors who want to buy get impatient and decide to pay higher prices. This forces the stock into rally mode. That could happen here.
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