Bank of America Analyst Picks Robinhood Stock Over Coinbase in Crypto Exchange Battle

Craig Siegenthalaer, top top investment analyst of Bank of America, made a surprising pick of cryptocurrency, and the pick is nothing short of a surprise to all the finance geeks.  Mr. Siegenthalaer chose  Robinhood over industry leader Coinbase, based on explosive revenue growth and superior execution across key metrics. The veteran has raised his Robinhood price target to $119 while maintaining a “Buy” rating.

Robinhood’s Crypto Revenue

As it appears that Robinhood is standing up to its name and giving the crypto industry’s acknowledged “elite” coin a hammering in the financial market. The challenger coin showed exceptional Q2 2025 results that speak loudly and clearly about its bulging domination over Coinbase.

Most cherished for being a commission-free platform, Robinhood recorded a 45% jump in total net revenue to $989 million year-over-year, with crypto transaction revenue exploding 98% to $160 million. The company’s app processed $28 billion in crypto notional trading volume, up 32% from the previous year.

Owing to these crypto metrics, the company’s net income also took a boom to  105% to $386 million, while diluted earnings per share doubled to $0.42. The company’s total platform assets have now climbed up to a staggering $279 billion, which is a rare increase of 99% from the same period last year, establishing the platform’s impressive pull to attract and hook to retain users. 

Coinbase Disappoints Despite Market Position

Contrary to this, the coin base’ camp is not happy at all. The bulwark crypto currency, significantly underperformed compared to the expectations made of it given its cemented market position. earnings per share of just $0.12 in Q2,  falling far short of the $1.25 consensus estimate, tell tales of disappointing performance in Wall Street. As a natural effect of this noticeable jolt, trading volumes took a dip of 40% from Q1 owing to a declined reading volume. 

While responding to his unexpected move of cutting his Coinbase price target from $383 to $369 and maintaining a “Hold” rating, he cited grave concerns over the platform’s extreme dependence on volatile altcoin trading volumes. This added fury to the fire and coinbase shares also plummeted to 12% on earnings day, exposing investors’ lack of confidence in the top-tier coin of cryptocurrency 

Platform Strategies Reveal Different Growth Trajectories

To get a hang of this tale of rise and fall, one needs to understand some apparent differences that are making the difference. Robinhood has put deep care into building a user-friendly interface facilitating the investors in a simple way through this complicated maze of crypto investment.

On top of that, the platform has kept its barrier quite low in terms of new entry protocols that attracts a skeptic and layman user the most when signing up for this unfamiliar world of crypto trading. Not to forget, the app’s tokenized stocks feature is being tested internally, giving the company more of an innovative platform’s appearance. 

On the contrary, Coinbase, despite being one of the pioneers of the game and occupying an advantageous position in institutional services, regulatory compliance, and security infrastructure, however struggles to fight this battle of modern day innovation (As of now). The platform’s dependence on altcoin, a coin quite in a vulnerable position, begets Coinbase a reduced trading volume.   

Siegenthaler’s analysis suggests Robinhood’s diversified approach and superior execution are positioning it to capture greater market share in the evolving crypto landscape, challenging assumptions about Coinbase’s long-term dominance in U.S. cryptocurrency trading.