Against all the odds, Bitcoin (BTC) has proven that it has the potential to become the leading financial solution. There were many speculations and rumors surrounding the price fall of Bitcoin (BTC) when it again hit the 19k mark after 2017. Many investors and analysts predicted that Bitcoin (BTC) will face another plunge and will let down the entire cryptocurrency industry.
However, Bitcoin (BTC) has proven all these speculations and predictions wrong. It not only crossed the $19k barrier and maintained it. It also managed to cross the $20k barrier and is now sitting at $23,500 that is Bitcoin’s (BTC) all-time high.
Since the mid of 2020, there are several speculations around the relation between BTC and Gold. It has been said on numerous occasions that BTC will manage to conquer Gold that is the most reliable asset in the entire commodity space.
Yet there are many who have been heard saying that the gold will face no pressure or potential risks towards its price from Bitcoin (BTC). Goldman Sachs has also agreed to this speculation and has favored this very concept.
As per Goldman Sachs, Bitcoin’s (BTC) current upward trend and parabolic surge will not hurt any of the major traditional assets such as gold. It stated that both assets have a presence and importance of their own in the trading markets and will continue to operate independently.
Goldman Sachs is one of the largest financial investment banks that is headquartered in the United States. Just recently, the financial investment bank sent out notes to its investors and stakeholders related to Bitcoin and Gold. In the notes that it sent, it provided reassurance to the investors and stakeholders that they must not worry about the current behavior of Bitcoin (BTC).
It informed them that no matter how high and popular Bitcoin (BTC) may get, the other traditional assets will not have any impact on their prices. The bank also confirmed that the BTC will cause no problems or make gold go non-existent due to its price surge.
The Goldman Sachs investment bank also released a statement on December 18, 2020, following the recent concerns raised by their investors and stakeholders related to Bitcoin and Gold.
In the statement, Goldman Sachs shared their findings that they were able to gather from the analysis on both Bitcoin (BTC) and Gold. The banks stated that they found no evidence that suggested that the Bitcoin (BTC) surge is cannibalizing the value or investor base of Gold in any way. Therefore, the bank is fully confident in stating that both assets can co-exist in the trading markets as top instruments.
However, the bank has stated that there are possibilities that in the coming years, Bitcoin (BTC) will steal some of the investors-base from Gold.