Compass Point Analyst Upgrades Bullish and Coinbase Stocks Amid Bitcoin Recovery

Compass Point analyst Ed Engel recently upgraded Bullish's stock to 'Buy' from 'Neutral', citing the potential for tokenized equities to launch in the US market, regardless of the outcome of the upcoming Senate vote on the CLARITY Act.

The analyst's base case assumed that the bill would fail to pass, but Engel believes the U.S. Securities and Exchange Commission (SEC) will release an innovation exemption soon after, paving the way for tokenized equities to launch next year.

Engel also upgraded Coinbase's stock to 'Neutral' from 'Sell', predicting a price increase of about 1% above its current level, due in part to Bitcoin's historical four-year cycles.