Circle ends NYSE debut up 167% from IPO price

Circle’s shares surged dramatically on their first day of trading on the New York Stock Exchange (NYSE), following intense interest in the stablecoin issuer. The stock opened at approximately double the IPO price before closing up 167%.

The company’s stock began trading around $69 per share, significantly higher than the upsized initial price of $31.

June 10 • Market open: CRCL trades at $69.00.

Peak: Shares briefly hit an intraday high of $103.75.

Close: Shares settled at $82.00, marking a 167% increase from the offering price and a ~20% decrease from the opening price.

Institutional demand was evident as Circle increased the number of shares and price range ahead of its planned U.S. debut. The offering, reportedly 25-times oversubscribed, saw another 34 million shares upsized later Wednesday.

GSR research analyst Carlos Guzman noted the significant price action as “further evidence of the market’s substantial demand for crypto equities.” He highlighted simultaneous institutional and retail interest.

Circle now mirrors a trend identified in crypto: traditional finance players offering exposure. “Circle could be the payments pipework running beneath” Coinbase’s “storefront,” suggested VanEck’s Matthew Sigel.

Analysts suggest Circle provides investors an alternative crypto exposure distinct from Coinbase and a tangible stake in the largest stablecoin sector. Bitwise research head Ryan Rasmussen advised holding “both COIN and CRCL.”

Circle’s $62 billion market cap USDC stablecoin represents a significant portion (~quarter) of the $230 billion global stablecoin market (led by Tether/USDT, $150B). Its profitability is notable – operating profit exceeding $1 billion in Q1.

“To say that stablecoins are simply a new form of payment or a new digital currency would be like saying that the internet is a better version of the fax machine,” Circle executive Spencer Spinnell argued recently.

Despite current Bitcoin weakness (-2.5% day) and broader crypto selloff, Circle shares held relatively steady during the trading day. Analysts anticipate continued growth for Circle, fueled by existing momentum, regulatory clarity, and expanding use of blockchain technology by traditional institutions.

Circle’s listing marks a milestone for the crypto industry, giving equity investors another access point – nearly four years after Coinbase’s Nasdaq arrival (April 2021).

The spectacular first-day pop, fueled by retail investor interest, signals continued enthusiasm for the crypto public markets, according to analyst Carlos Guzman.