{"id":400407,"date":"2022-01-28T13:20:22","date_gmt":"2022-01-28T10:20:22","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/crypto-hodlers-may-not-get-richer-from-mainstream-adoption-goldman-sachs\/"},"modified":"2022-01-28T13:20:22","modified_gmt":"2022-01-28T10:20:22","slug":"crypto-hodlers-may-not-get-richer-from-mainstream-adoption-goldman-sachs","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/crypto-hodlers-may-not-get-richer-from-mainstream-adoption-goldman-sachs\/","title":{"rendered":"# Crypto hodlers may not get richer from mainstream adoption \u2014 Goldman Sachs"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3bbf7195fd3\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3bbf7195fd3\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/crypto-hodlers-may-not-get-richer-from-mainstream-adoption-goldman-sachs\/#Goldman_Adoption_is_a_%E2%80%9Cdouble-edged_sword%E2%80%9D\" >Goldman: Adoption is a \u201cdouble-edged sword\u201d<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/crypto-hodlers-may-not-get-richer-from-mainstream-adoption-goldman-sachs\/#Simple_supply_and_demand\" >Simple supply and demand?<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># Crypto hodlers may not get richer from mainstream adoption \u2014 Goldman Sachs <\/strong>&#8221;<\/p>\n<div class=\"post-content\" data-v-128018ef>Bitcoin (BTC) and cryptocurrency adoption may not necessarily make its price higher in dollar terms, Goldman Sachs argues.<\/p>\n<p>In a note seen by Bloomberg <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.bloomberg.com\/news\/articles\/2022-01-28\/going-mainstream-is-a-double-edged-sword-for-crypto-goldman?srnd=crypto-technology\">published<\/a> Thursday, the international banking giant claimed that mainstream acceptance of crypto assets would increase their correlation to other mainstream asset classes.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Goldman_Adoption_is_a_%E2%80%9Cdouble-edged_sword%E2%80%9D\"><\/span>Goldman: Adoption is a \u201cdouble-edged sword\u201d<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>In a view contrary to that of many Bitcoin proponents, Goldman sounded firmly uninspired by the prospect of crypto as a tool for the enrichment of the mass populace.<\/p>\n<p>\u201cWhile it can raise valuations, it will also likely raise correlations with other financial market variables, reducing the diversification benefit of holding the asset class,\u201d the note reads.<\/p>\n<p>Its authors, Zach Pandl and Isabella Rosenberg, additionally described mainstream adoption as a \u201cdouble-edged sword.\u201d<\/p>\n<p>Put another way, should Bitcoin or crypto become more correlated with extant assets, the scope for asymmetric profit would be reduced.<\/p>\n<p>The comments come as crypto markets indeed exhibit a higher correlation with equities, in particular, this month, with projections for 2022 not favoring a strong recovery \u2014 at least at first.<\/p>\n<p>Nonetheless, even Goldman itself has not wholly subscribed to one narrative, earlier in January reasoning that BTC\/USD could still reach $100,000 \u2014 somewhat ironically, by stealing market share from gold and thus luring in more traditional investors.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Simple_supply_and_demand\"><\/span>Simple supply and demand?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Alternative theories for Bitcoin specifically eschew the idea of correlation outpacing the rate of gains delivered by other factors going forward.<\/p>\n<p><strong><em>Relative:\u00a0Breaking \u2018bear market\u2019 in Bitcoin demand will spark next BTC price surge \u2014 Analysts<\/em><\/strong><\/p>\n<p>The simple mathematical equation of dwindling supply in the face of broader adoption is championed by analysts as a de facto guarantee of higher prices versus fiat currencies in the future.<\/p>\n<p>Bitcoin\u2019s predictable emission schedule combined with growing wallet entities equal a phenomenon that continues to play out despite low-timeframe price weakness.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-01\/189a20a2-4bdf-4a39-8b56-fa3279ec2ae0.png\"><figcaption style=\"text-align: center;\"><em>Bitcoin wallet addresses holding at least 1 BTC vs. BTC\/USD chart. Source: LookIntoBitcoin<\/em><\/figcaption><\/figure>\n<p>The retracement that began in November, meanwhile, has failed to dent the enthusiasm of larger wallet holders, data from monitoring resource Santiment <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/santimentfeed\/status\/1486781444957487107\">reveals<\/a>.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/crypto-hodlers-may-not-get-richer-from-mainstream-adoption-goldman-sachs\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# Crypto hodlers may not get richer from mainstream adoption \u2014 Goldman Sachs &#8221; Bitcoin (BTC) and cryptocurrency adoption may not necessarily make its price higher in dollar terms, Goldman Sachs argues. In a note seen by Bloomberg published Thursday, the international banking giant claimed that mainstream acceptance of crypto assets would increase their correlation&#8230;<\/p>\n","protected":false},"author":1,"featured_media":400408,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMDEvNGNlNTEwOTQtOWIzOC00Y2E4LThhZWItMmM2OGEwN2FjM2UxLmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74862,74937,70790,73785],"class_list":["post-400407","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bitcoin","tag-bitcoin-price","tag-goldman-sachs","tag-markets"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/400407","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=400407"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/400407\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/400408"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=400407"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=400407"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=400407"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}