Goldman Sachs, the multinational investment bank and financial services company, has acknowledged Bitcoin as the best performer in 2023, according to recent reports. This news comes as a major boost for Bitcoin and the broader cryptocurrency market, as it suggests that institutional investors are increasingly recognizing the potential of digital assets. As more and more institutional investors begin to invest in Bitcoin, the currency is expected to continue to increase in value, offering investors significant returns on their investment. With this news, cryptocurrency investors can expect to see increased interest and demand for Bitcoin in the coming months and years.
Bitcoin Outperforms Traditional Assets, According to Goldman Sachs
Goldman Sachs, one of the leading American banks, has identified bitcoin as the best-performing asset since the beginning of 2022. This primary cryptocurrency has surpassed other investment assets and sectors such as Nasdaq 100, gold and S&P 500. In terms of year-to-date (YTD) and risk-adjusted returns, the bank claims that bitcoin’s potential has outpaced that of traditional assets, precious metals, and other investments.
Contrary to its performance in 2022, the price of bitcoin has skyrocketed from $16,500 on January 1 to approximately $28,400 at the moment of writing these lines, representing a 70% increase. The rally has resulted in some individuals believing that the bear market could be over, and that bitcoin has entered a new bull run. One such individual is Eric Peters, the CEO of One River Digital Asset Management. He recently claimed that the next phase in this new bull run will be “very powerful” because major institutions will be diving in.
Ryan Selkis, CEO of crypto intelligence firm Messari, also painted a favorable scenario for bitcoin, forecasting its valuation to surge to $100,000 in the next twelve months. Selkis thinks that bitcoin will act as “a life raft and peaceful exit option” to adverse events in the financial world, including additional bank collapses, that could occur in the near future.
The most bullish prediction came from Balaji Srinivasan, Coinbase’s former CTO, who wagered $2 million against Twitter user James Medlock that bitcoin will be worth $1 million in 90 days. He believes the price expansion will happen due to a possible collapse of the US banking system and consecutive hyperinflation.
In summary, Goldman Sachs highlights that bitcoin has outperformed traditional assets since the start of 2022. The success is attributed to its year-to-date (YTD) and risk-adjusted returns. Bitcoin’s potential continues to attract attention from companies and individuals alike, and predictions of future valuations range from optimistic to outright bullish.