Bernstein: Driven by the popularity of stablecoins and AI-driven finance, Circle's stock price may have another 60% upside potential

According to CoinDesk, brokerage firm Bernstein analysts maintain an "outperform" rating on USDC issuer Circle's stock, with a target price of $190, representing about a 60% upside from the current level of $120.

The report notes that the adoption of stablecoins is increasingly decoupling from the crypto market cycle. Despite the market being in a bear phase, the supply of USDC has rebounded to nearly a record $78 billion, and the total market capitalization of dollar-pegged stablecoins remains stable at around $270 billion. Adjusted stablecoin trading volume has increased by over 90% year-on-year, with trading turnover rising, indicating that stablecoins are being used more frequently in scenarios outside of crypto trading.

Payment adoption is the main driver, as stablecoins are gradually being integrated into traditional card networks. Visa currently supports over 130 stablecoin-linked cards across more than 50 countries, with an annual settlement volume of approximately $4.6 billion. AI-driven "proxy finance" could become a new growth theme, as machine-to-machine micropayments between autonomous software agents will require stablecoins as a natural payment rail.