Coinbase Global Inc. shares advanced 7.1% in pre-market trading on Friday, extending gains after Bitcoin broke above $71,000 and triggered a wave of short liquidations across crypto markets.
A record $2.7 billion in crypto short positions were liquidated within 24 hours, the largest such event since data collection began in 2021, according to market-tracking data. Bitcoin shorts alone accounted for more than $1 billion in closures within roughly one hour, amplifying the cryptocurrency’s surge past $71,000 and reinforcing its hold above $70,000.
Coinbase’s rally reflects broader market exuberance as trading volumes and liquidity conditions improve. The company reported a third consecutive all-time high in crypto trading volume market share of 10.3% in the second quarter of 2026, alongside its 14th straight quarter of positive adjusted EBITDA. Nearly half of its net revenue now stems from subscriptions and services, reducing exposure to Bitcoin’s spot trading cycles.
Regulatory developments also supported sentiment. Coinbase secured approvals in Abu Dhabi to establish a global tokenization hub for fully backed digital securities, while the pending Digital Asset Market Clarity Act remains on track for a Senate vote in September. The legislation, which requires 60 votes to pass, aims to clarify the regulatory framework for digital assets.
Brian Armstrong, Coinbase’s chief executive, told CNBC on Thursday that the market may be "on the cusp of the next bull market for spot trading in crypto." The remarks echoed a broader shift in sentiment as institutional and retail interest in digital assets strengthens.
COIN’s pre-market gain followed gains in crypto-adjacent peers such as Strategy and Hut 8, which also benefited from the liquidation-driven rally. The stock’s movement contrasted with the S&P 500 and Nasdaq, which showed mixed performance in early trading.
