The US investment giant Goldman Sachs expects the prices of crypto currencies will continue to fall. Corresponding to the findings of a updated Version of the annual Outlook of the company, at the 3. August has been released. In order for Goldman Sachs confirmed their bearish positioning to Bitcoin & co. in January of this year.
The descent of the Bitcoin price since its all-time high in December of last year, is expected to continue. This is the view of Goldman Sachs in the Update to your “(Un)Steady as She Goes” baptized Outlook for the year from the beginning of this year.
In this Goldman Sachs noted a “crypto-currency mania”, and one of the six largest factors of uncertainty in relation to the development of the world economy. Bitcoin & co. was given the honour to be in a row with terrorism and rising geopolitical tensions. Also, with regard to the price of crypto-currencies, showed Goldman Sachs already in the Report from the January skeptical:
“How not to believe that these crypto-currencies in their current Form in the long term, will maintain their value.”
Now, a year and a half and over 60 percent of the BTC-exchange loss later, Goldman Sachs’s forecast was confirmed.
“Our assessment is that crypto-currencies can maintain their value, remains in place and has proven to be, in fact, earlier than properly, as we had originally assumed,”
it is in the half-year report. Furthermore, you can expect to see further price declines. Goldman Sachs justified the bearish forecast, with the familiar Argument that Bitcoin & co. could not act as a currency:
“We expect further declines in the future, since crypto-currencies, in our view, none of the three functions of traditional currency true: you are neither a medium of exchange, nor Counting, nor a store of value.”
Too much media attention
The Report stresses, however, that the case would be the end of crypto classes no negative effects on the financial market. The total market capitalization of all crypto makes währugen only 0.3 percent of the world’s gross domestic product. The media attention they received was disproportionate.
“In fact, we believe that you will attract far more attention in traditional media and in social media, than it is to justify.”
However, Goldman Sachs does not seem to close themselves to the crypto currencies. In may, the company had announced plans to a Trading Desk for trading crypto-currencies. In addition, you get with the Trader Justin Schmidt cryptographic Expertise into the company. From the new CEO, David Solomon, it is hoped that also some.