Robinhood Stock Price Calls For Further Upside As Market Digests Investor Day

Summary:
• Robinhood stock price has gained over 205 percent in 2024, but recent developments point to a continuation of the upside.

Robinhood stock price was up in Friday’s pre-market session, signaling a potential reversal of Thursday’s drop. HOOD price traded at $39.77, up by 2.18% above the previous session’s closing price.

The resurgence came as Goldman Sachs upgraded the stock’s rating from “neutral” to “buy” and moved the price target from $40 to $46. That represents a 13% headroom from the current stock price level, underlining a strong growth potential.

Why Robinhood stock price is primed for further gains

Robinhood has gained 205% year-to-date, but its strong fundamentals and a favourable business ecosystem presents good growth prospects. The company held its inaugural Investor Day on December 4, during which it presented an ambitious 10-year growth plan. Robinhood (NASDAQ: HOOD) expects to grow 10X in the next decade, targeting the wealth transition from the older to the younger generation, which forms a substantial portion of its market.

Bitcoin’s move into the six-figure territory presents a major growth opportunity for Robinhood. The crypto market has crossed the $3.6 trillion capitalization mark and could be on the verge of something bigger if the Trump administration creates a strategic Federal Bitcoin reserve. In addition, we are likely to see institutional influx into the crypto market following BTC’s historic milestone and the expected looser regulations in the crypto industry.

Robinhood stock price prediction

Pivot: Robinhood stock price pivots at $39.65 and the buyers are in control as evidenced by the RSI reading.

Resistance: The upward action will likely meet initial resistance at $40.00. However, if the buyers extend their control, they could break above that level and test $40.35.

Support: Moving below $39.65 will swing the momentum to the downside. With the sellers in control, HOOD price will likely find the first support at $39.30. Breaking below that level will invalidate the upside narrative. Meanwhile, the resulting momentum could take the price lower and test the second support at $39.10.