Hedge Fund Clients Ask Goldman Sachs to Cover Bitcoin - Bitcoin and Altcoins News

Breaking

Post Top Ad

Post Top Ad

June 14, 2017

Hedge Fund Clients Ask Goldman Sachs to Cover Bitcoin

Hedge funds clients have reportedly petitioned Goldman Sachs’ chief technician to begin covering bitcoin, mainly on account of the poor performance of hedge funds.

“The market has come close (enough?) to reaching its extended (2.618) target for a 3rd of V-waves from the inception low at 3,134,” Sheba Jafari, the company’s chief technician, wrote, according to Tyler Durden, a financial writer noted in ZeroHedge, a financial news website. “It’s on track to forming a bearish key day reversal if today’s close settles below 2,749.”
Bitcoin reached a record $3,000 on Monday, but did not hold this position and fell below the $2,759.

Bitcoin Expected To Reach New Highs

Durden stated the fact that Goldman Sachs is bearish on the market indicates bitcoin will likely reach new record highs. He also wrote that the market daily and weekly oscillations are “diverging negatively.”
Hedge funds have been starved of volatility in all other classes of assets, according to Durden,
He also noted fund managers are eagerly awaiting Goldman Sachs’ views on Ethereum.
Ads:
Most hedge fund managers have stayed away from bitcoin. However, the few that have included it are significantly outperforming their peers, according to Bitcoin.com.

A New Level Of Bitcoin Acceptance

Should Goldman Sachs invest in bitcoin, it would signal a new level of acceptance for the cryptocurrency for institutional investors. Institutional investors have largely avoided bitcoin.
The largest fund to hold bitcoin is the Pantera Bitcoin Fund, which was a $160 million hedge fund last year.
The HFRI Weighted Composite Index, based on hedge fund indices, only returned 0.46% in May and 3.5% year-to-date. In comparison, the S&P500 total return was 1.16% in May and 9.61% year-to-date, while bitcoin has gained 180% this year.
Goldman Sachs has been aggressively exploring blockchain technology for financial transactions and trade infrastructure. The company was one of the first members of the R3 blockchain consortium, but ended its membership in October.
Goldman Sachs is an investor in possible R3 competitor Digital Asset and has filed multiple payments for its cryptocurrency and a blockchain solution for foreign exchange trading.
Featured image from Shutterstock.

No comments:

Post a Comment

Post Top Ad