Goldman Sachs analysts: Bitcoin prices may have reached the bottom of this cycle, but trading volume may decline further
According to Forbes, Goldman Sachs analyst James Yaro stated in a research report that the decline in btc-42">Bitcoin and the cryptocurrency market has roughly reached the historical average level from peak to trough in this cycle. In recent weeks, Bitcoin and cryptocurrency-related stocks have shown volatility but are trending towards stability. However, Yaro warned that trading volume may decline further, and in a low trading volume environment, Bitcoin prices are prone to significant fluctuations, making any rebound difficult to sustain.
He pointed out that trading volume typically remains at a low for about three months before showing a noticeable recovery. If trading volume continues to decline, cryptocurrency companies' revenues may decrease by 2% and profits by 4% in 2026. Goldman Sachs currently rates Robinhood, Figure Technologies, and Coinbase as "buy," with the stock prices of these three companies down at least 50% from their historical highs. Yaro stated that digital asset-related targets are presenting increasingly attractive entry points.
Goldman Sachs CEO David Solomon revealed last month at the World Liberty Forum held at Trump's Mar-a-Lago in Florida that he holds a small amount of Bitcoin, marking a shift in his stance for 2024. This week, Bitcoin prices fell back to around $60,000, and Trade Nation senior market analyst David Morrison noted that Bitcoin previously faced resistance and retreated around $72,000. Currently, the daily MACD indicator is flattening at a neutral level, and the short-term trend direction remains unclear.
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