Goldman Sachs Analyst: Bitcoin Could Soon Reach $14,000 (and Possibly Beyond)

Goldman Sachs Entrance

Is one of American largest investment banking firms, Goldman Sachs, bullish on Bitcoin(BTC)trade? This is a recurring question on everyone’s lips following a speculation of another Bitcoin rise that was sent to clients in a note on Sunday, August 11.

As Bloomberg reports, according to people familiar with the matter, an analyst with Goldman Sachs sent a packet of slides to clients, giving them a heads up on the financial market and possible price rally of Bitcoin.

I guess it is safe to believe that it is the normal practice in the investment banking firm to let their clients know about weekly changes and forecast in important financial markets.

This week’s newsletter, titled ‘The Charts That Matter Next Week,’ sparked some questions about Goldman Sachs’ stand on Bitcoin. This is because one of the slides in the packet sent to clients contained information that seems to be bullish on the largest cryptocurrency by market capitalization. So, can we say Goldman Sachs is bullish on Bitcoin?

Well, the answer is no. The analyst in question, Sheba Jafari, is only reporting the state of the market to clients. That is basically the aim of the newsletter. In the same packet, you will find information on gold and on the stock market in general. We strongly believe she is just performing her responsibilities to the clients irrespective of the company’s stance regarding crypto and Bitcoin.

In the Bitcoin slide, Jafari predicted that the Bitcoin price could rise up by 23% in the near future. She also added that this rise could go even higher with time.

You will recall that Bitcoin hit a new one-year-high and dropped a few lags, peaking at about $11,000 US dollars this month. From Jafari’s prediction, we may experience a significant rise in the price of Bitcoin in the coming weeks. Therefore, it is safe to say that, according the banking firm’s analyst, this is a good time for investors to buy some Bitcoin in hopes of selling them off at a higher price.

However, the 28-page packet of slides was rightly introduced with cautionary words that show that the views in the slides “are not an official view” of the company; instead, they are just another highlight in various financial markets such as the crypto market.

The Analyst Missed the Bitcoin Highs of 2017

This is not the first time Jafari is weighing in on the price of Bitcoin. The analyst, who is known to use an old theory dubbed Elliott Wave theory, cautioned investors in 2017 against betting on a Bitcoin surge above $8,000 US dollars. Well, the popular cryptocurrency soared up to $20,000 a few months after; although, to be fair, it did make an epic drop in 2018.

Therefore, we advise you treat every forecast as just that – a prediction. Nothing more. As a reminder, it is only a forecast, even by a distinguished analysts from one of the largest banking companies worldwide; the Bitcoin price, as usual, may or may not increase.

It is also important to mention that Goldman Sachs may have taken a strategic decision to get into crypto: the banking firm has been seeking for a digital asset project manager and it has reportedly been considering to launch its own cryptocurrency in the form of a stablecoin.

Sharing Is Caring: