What is the expected impact of this announcement on Nuvei's stock price in the short term? | NVI (Aug 12, 2025) | Candlesense

What is the expected impact of this announcement on Nuvei's stock price in the short term?

Fundamental outlook

Nuvei’s announcement that it is now using stable‑coin infrastructure to settle payroll, remittances and treasury flows in emerging‑market economies is a clear incremental revenue catalyst. The move gives Nuvei a cost‑advantage in regions where traditional banking is either absent or expensive, expanding the addressable market for its payments‑as‑a‑service platform. Given the rapid growth of stable‑coin adoption in Africa, Southeast Asia and Latin America, analysts estimate the new “stable‑coin rail” could lift Nuvei’s top‑line by 5‑8 % YoY once the service scales, with margin expansion from lower transaction‑costs. The news also aligns with broader macro trends (digital‑currency adoption, “unbanked” market expansion), which reinforces the positive sentiment score (70). In the short‑term, investors typically reward such tangible product roll‑outs with a 2‑5 % upside in the stock price, assuming no major macro‑risk headwinds.

Technical & market dynamics

The NVI ticker has been trading in a tight 5‑day range around $38.50–$40.00, with the 20‑day EMA (≈$38.9) acting as support and the 50‑day EMA (≈$39.6) acting as resistance. The announcement pushed volume up 1.8× the 30‑day average, and the RSI has risen from 45 to 57, indicating emerging bullish momentum without being overbought. A break above the 50‑day EMA (≈$39.6) with sustained volume could trigger a short‑term rally toward the next resistance at $42–$43, a level that historically has acted as a ceiling after earnings beats. Conversely, a failure to sustain above $39.6 could pull the price back toward the 20‑day EMA, offering a potential entry at $38.8 for risk‑averse traders.

Actionable insight

- Long‑bias: Enter a small‑cap position at the current level (≈$39.0) with a target of $41.5–$42.5, setting a stop‑loss around $38.0 (below the 20‑day EMA). The risk‑reward ratio is roughly 1:2.

- Short‑bias (if price stalls): Consider a tight‑stop short if the price fails to hold above $39.6, targeting $37.5 (near the 20‑day EMA) and a stop at $40.0.

Overall, the news is likely to push Nuvei’s price modestly higher in the next 1‑2 weeks, provided broader market sentiment remains neutral to positive.