Mizuho Bank Analyst Upgrades Circle Price Target, Believes Soaring Oil Prices and Rate Outlook Favor Stablecoin Trading

BlockBeats News, March 4th. According to The Block, driven by geopolitical tensions pushing up oil prices and weakening rate cut expectations, a Mizuho Bank analyst has raised Circle's target stock price from $90 to $100, maintaining a "Neutral" rating. The analyst believes that changes in interest rate expectations may have a greater impact on Circle's valuation multiple than on short-term revenue boost.

Circle's main revenue comes from interest income on its USDC reserve assets. The surge in oil prices has exacerbated inflation concerns, and the market's expectation of no rate cuts in 2026 is favorable for locking in stable interest income. Despite the positive macro environment, the analyst warns that clarity on stablecoin regulation may intensify market competition and potentially compress industry profit margins in the long term.