Crypto Card Boom Sparks Gemini’s Recovery, Analysts Target $30 Stock Price

Gemini Space Station Inc. (NASDAQ: GEMI) has regained investor interest after a volatile start to its public trading. The company’s shares fell sharply from an opening-day high of $46 to $22.25 following their IPO launch at $28 last month. However, renewed optimism surrounding its payment card growth has helped the stock stabilize near $ 23.30, marking a 1% decline during Thursday’s trading session.

Analyst coverage began this week, following the end of the IPO blackout period. Eight firms now track the crypto-focused company, with six recommending a buy and two rating it a hold. Price targets range from $30 to $31.50, indicating a potential 20% to 30% upside. Mizuho Securities issued a $30 target, while Needham set the highest forecast at $42. Truist Securities also placed the stock’s near-term target at $31. Analysts attributed this renewed confidence to Gemini’s expanding customer base and its progress in regulatory licensing.

Crypto Card Expansion Strengthens Business Outlook

Its credit card program has become one of the significant sources of growth. Jemini had far more rapid crypto card sign-ups, with a total of over $31,000 in August 2025, compared to 8,000 in 2024. In July and August, Cantor Fitzgerald announced that 45,000 more customers had joined. Nearly 50% of these cardholders are also active traders on the Gemini exchange, and user engagement has been high within the ecosystem.

The Gemini Credit Card enables its users to earn rewards in the form of cryptocurrencies, including Bitcoin and Ethereum, rather than cash back. The card charges no annual or foreign transaction fees, and it offers up to 4% back on all purchases. It is also directly connected to Gemini's trading platform, allowing customers to manage and reinvest their rewards easily. This model motivates users to stay on the platform, which, according to Mizuho analysts, creates a cycle of sustainable growth for the company.

European Expansion and Market Confidence

Gemini received authorization in the Markets in Crypto-Assets (MiCA) framework of the European Union in August. This license will enable the company to offer staking initially and derivatives trading services to EU member states. The new authorization makes Gemini eligible to win more customers in its effort to diversify its service in Europe.

Despite this development, analysts at KBW remain skeptical about the company's short-term profitability. They recognized that Gemini had stronger fundamentals but indicated that the company would have to maintain growth in users and control operating expenses well to achieve steady profitability. The company's recovery efforts involve compensating investors who suffered from previous problems with $2 billion and allocating $50 million of its reserves to restore trust.

Gemini maintains its position behind larger crypto stocks, such as Coinbase, Circle, and MicroStrategy, in terms of market performance. Nonetheless, credit card usage is growing in Europe. The average price target of $30 shows the increasing expectation that the Gemini payments business will be at the center of its long-term recovery.

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