Robinhood (HOOD) shares have extended their recent rally, trading above $110 in extended hours after a strong rebound from the year's low. The stock is up more than 70% from its January trough, supported by accelerating growth metrics on Robinhood Chain and a favorable analyst outlook.
Robinhood Chain metrics surge
Data from DeFi Llama shows that Robinhood Chain, launched in July, has seen its total value locked (TVL) climb to a record $783 million. That places it as the eleventh-largest blockchain by TVL, surpassing established networks like Cardano, Avalanche, Sui, Stellar, and Near Protocol.
Decentralized exchange (DEX) activity on the chain is also robust, with over $20.3 billion in transaction volume over the past 30 days. In the last 24 hours alone, DEX volume reached $1.55 billion, exceeding that of Ethereum, BNB Chain, and Base. Stablecoin supply on Robinhood Chain has grown to $868 million, ranking it 14th among all chains and ahead of TON, Plasma, Optimism, and Sui.
These metrics indicate that Robinhood Chain is gaining traction quickly, potentially positioning it to challenge Coinbase's Base network. If adoption continues, Robinhood may eventually introduce a native HOOD token, which could add significant value to the ecosystem.
Diversification drives growth
Robinhood has evolved from a commission-free trading app into a multi-faceted financial services platform. The company has expanded into options trading, crypto (including the acquisition of Bitstamp), and prediction markets through a partnership with Kalshi. More recently, it has begun migrating its prediction market operations to its own platform built with Susquehanna.
Robinhood is also partnering with the U.S. government on the Trump Accounts product and has launched a wealth management service. Funded accounts have grown to over 28.4 million, while total platform assets have surged to $369 billion.
Analysts expect continued revenue growth. According to Yahoo Finance, annual revenue is projected to reach $5.19 billion this year, up 16% year-over-year, and climb to $6.55 billion in the following year. This optimism is reflected in recent analyst actions, including Morgan Stanley's upgrade to Overweight with a $150 price target.
Technical outlook
From a technical perspective, HOOD stock has been in a clear uptrend since April, consistently holding above an ascending trendline. The shares have also moved above the 50-day and 100-day exponential moving averages (EMAs), signaling bullish momentum.
If the stock can break above the key resistance at $110, the next target could be $120. However, investors should watch for potential pullbacks, as the stock has already rallied significantly. Related momentum in the crypto sector, such as ARB's 30% surge on Robinhood Chain activity, highlights the broader interest in blockchain-related assets.
Robinhood's expansion into multiple revenue streams, combined with its blockchain network's rapid adoption, provides a solid foundation for future growth. Still, the stock's valuation will depend on sustained user engagement and the successful execution of its strategic initiatives.
This article is for informational purposes only and does not constitute financial advice.
