Circle’s Market Capitalization Surges, Edging Closer to Coinbase

Circle Rockets Toward Coinbase’s Valuation as Stablecoin Frenzy Sparks Investor Fervor

Shares of Circle (CRCL) continued their blistering ascent on Monday, riding a wave of investor enthusiasm for stablecoin exposure—even as some analysts caution that its soaring valuation may be outpacing fundamentals.

The stock climbed as much as 22% during early trading, touching a record high near $299 before closing around $263, still up 9% for the day. Since its initial public offering earlier this month at $31 per share, Circle has surged roughly 750%.

At its intraday peak, Circle’s market capitalization neared $60 billion, drawing close to the $61.3 billion circulating supply of its USDC stablecoin. This puts Circle within striking distance of Coinbase (COIN), whose market cap sits near $78 billion.

The rally reflects strong investor demand for stablecoin-focused plays—a segment with limited public market exposure. USDC, the world’s second-largest dollar-backed stablecoin, has become deeply integrated into centralized exchanges, decentralized finance (DeFi), and increasingly into payments and cross-border settlements.

Adding fuel to Circle’s surge was the recent passage of the GENIUS Act in the U.S. Senate, which aims to provide clearer regulatory guidelines for stablecoins. Many see this as a gateway for the sector to expand significantly, potentially reaching trillions of dollars in market size.

Despite the bullish momentum, some analysts urge caution.

“Not a lot of upside in the current model,” warned Jon Ma, CEO of crypto analytics firm Artemis, in a note last week. He highlighted that Circle’s valuation multiples remain elevated compared to peers, trading at roughly 32 times revenue, 80 times gross profit, 152 times EBITDA, and 285 times earnings.

Circle’s market cap now rivals fintech giants like Robinhood ($68 billion), Nubank ($59 billion), and Block ($38 billion), raising questions over whether the rally can sustain itself without a correction.