Coinbase: The crypto market in 2026 will be dominated by perpetual contracts, prediction markets, and stablecoin payments.

According to Odaily, Coinbase Institutional's latest research outlook indicates that in 2026, the core of the crypto market will no longer be driven by narratives, but rather by the ability of key market structures to continue expanding under more stringent conditions. The report, authored by David Duong, Global Head of Research at Coinbase, and researcher Colin Basco, argues that traditional cyclical models centered on retail speculation, token issuance, and single-protocol catalysis are gradually becoming ineffective.

The report identifies perpetual contracts as a key pillar of price discovery, noting that derivatives trading volume has become dominant on most major exchanges. While the derivatives market is expected to undergo a deleveraging adjustment by the end of 2025, Coinbase views this as a structural reset rather than a decline in demand, arguing that stricter margin requirements and risk controls have enhanced the market's ability to absorb shocks.

Furthermore, Coinbase believes that prediction markets are shifting from experimental products to more sustainable financial infrastructure, with increased trading volume and liquidity attracting more non-crypto native participants. Stablecoins and payments are considered the sectors with the most practical use value, with their applications in settlement, cross-border transfers, and liquidity management continuing to grow, and gradually integrating with automated trading and AI applications. Coinbase states that 2026 will be a crucial year to test whether these core markets can continue to develop under intense regulatory and risk constraints. (CoinDesk)