The stock price of Coinbase (NASDAQ: COIN) plummeted 8.16% to $251.85 on Thursday, continuing to lose its value for the fourth straight day. The price of the largest cryptocurrency exchange went public two weeks ago opened at $381 and instantly surged to an all-time high of $429.54.

"Coinbase, from a stock perspective, has entered bear market correction territory," David Wagner, portfolio manager, and analyst at Aptus Capital Advisors, told Business Insider.

Coinbase’s debut on Nasdaq saw highly volatile trading since the company went through the initial public offering. The crypto exchange’s value soared to about $86 billion by the end of its first session. However, the stock has been plummeting since then and had hit its all-time low price of $251 amid the bearish stock market conditions.

Wagner said that institutional investors are afraid to make a bet on the exchange platform. He argued that the stock appears to be priced at a very high multiple. In fact, Elon Musk demanded from Coinbase to list Dogecoin once. Additionally, Wagner said that “the lack of a lock-up period may be one reason for the price decrease, giving insiders and early investors little incentive to hold shares.”

Coinbase is the first large cryptocurrency exchange platform to go through IPO. At that moment, crypto bulls believed that the Coinbase IPO is an Amazon moment for cryptocurrencies. Nonetheless, the exchange doesn’t support many popular cryptocurrencies which have been trending lately.

Coinbase doesn't support Dogecoin or Binance

For instance, Coinbase doesn’t offer trading in Dogecoin, the meme-based digital currency that saw a $13,000 gain year-to-date. The digital token is backed by the 2nd richest person in the world and CEO of Tesla (NASDAQ: TSLA) Elon Musk. Additionally, Coinbase doesn’t support the 3rd largest digital currency Binance, which is valued at $99 billion.

"Coinbase has been in a steady decline since its debut as many cryptocurrency traders have begun betting big on altcoins and tokens on other exchanges, while some have decided to directly hold their cryptos in a wallet," Edward Moya, senior market analyst at Oanda, told Insider.

Meanwhile, the cryptocurrency exchange Gemini enabled its users to trade Dogecoin as of Tuesday, following the steps of major platforms like Robinhood Financial and Kraken.

In conclusion, Coinbase might be facing competitive problems in the near future as Kraken stated that it could go public next year following the bullish rally of Bitcoin and other cryptocurrencies.