CRCL Stock Price Surges 3% as Mizuho Upgrades Circle Rating to Neutral

CRCL stock price jumped more than 3% on Wednesday as the USDC stablecoin issuer Circle Internet Group was upgraded to a neutral rating by Mizuho Securities. It follows various developments including receiving a national trust bank charter and growth in USDC stablecoin use on Polymarket.

Circle Stock Upgraded to Neutral by Mizuho Securities

Mizuho Securities USA LLC upgraded Circle Internet Group (NYSE: CRCL) from ‘underperform’ to ‘neutral’ rating on January 28. The firm cited growth in USDC stablecoin usage on prediction platform Polymarket.

Mizuho analyst Dan Dolev also upgraded CRCL stock price target from $70 to $77. Since all Polymarket bets are settled in USDC, Mizuho now sees USDC on Polymarket as a growth catalyst for Circle Internet Group.

The upgrade comes after Mizuho initially rated CRCL as underperform in June last year. The firm’s earlier concerns centered on meager USDC distribution, declining interest rates, and rising competition from Tether’s USDT. Multiple headwinds caused the stock to fall 77% from its 52-week high of $298.99.

Mizuho noted that 2026 has started strongly for Circle and USDC as prediction market Polymarket sees annualized volumes of $50 billion. The current growth could drive 25% potential upside to USDC’s market capitalization. The firm added that CRCL stock price could see more upside due to many prediction events, “ranging from will Jesus return before 2027 to Super Bowl.”

The research firm has also raised its 2026/2027 estimates for USDC in circulation, though it notes these projections remain below consensus expectations.

Recently, Circle Internet Group also received conditional approval for a national trust bank charter from the OCC. It will manage the USDC stablecoin reserve and operate under federal regulation. The firm also announced a partnership with Intuit, Kraken, and Finastra to boost stablecoin adoption.

CRCL Stock Price Rises 3%

CRCL stock price jumped more than 3% during the premarket trading hours on Wednesday, according to Yahoo Finance data. It closed 1.33% lower at $69.96 on Tuesday. The intraday low and high were $67.50 and $70.54, respectively.

Moreover, trading volume was below the average of 13 million, indicating uncertainty among traders ahead of the Fed interest rate decision. A decline in Bitcoin price to $88K and an overall crypto market uncertainty have also caused the CRCL stock price to tumble 14% in a month.

Recently, Circle received a buy rating from Bernstein analyst Gautam Chhugani, who reiterated a $190 price target. Moreover, Goldman Sachs reiterated its ‘hold’ rating, but increased its CRCL stock price target from $79 to $88. Circle stock has an average price target of $144, with a high forecast of $280 and a low forecast of $65.