- Goldman Sachs determines that BTC will hit $100K.
- Major shares of gold are shifting towards the BTC market.
- BTC market shares alone account for the highest of 60% in yearly returns.
The final quarter of the year 2021has been quite contradictory. Owing to the fact that the expectations for the Bitcoin (BTC) on hitting the mark of $100K was extremely high. Fuel was added to the expectation fire even more as BTC hit it’s current ATH of $69K in the month of November 2021. However, BTC failed miserably putting down everyone’s hopes, as the year end price of BTC dropped to $46K.
In spite of all the lost hopes, even various analysts upon further research on BTC’s road ahead determined that BTC will not hit $100K in 2022 too. Nevertheless, the global investing and finance giant, the Goldman Sachs, terms that BTC will for sure hit $100K. Let’s dig in deeper to the controversy.
Goldman Sachs Prediction of BTC to $100K
Despite all the pessimistic opinions of BTC not to hit the $100K mark anytime soon, the team from Goldman Sachs however defends the statement. Accordingly, the Goldman Sachs head of global FX and EM strategy, Zach Pandl states that there are high possibilities for BTC on hitting $100K.
As per Zach Pandl’s statement, if the shares of gold shifts towards the BTC for about 50%, then within a five years time period, BTC will be hitting $100K. In addition, Pandl states that this will in turn accommodate a compound interest of 18% annually.
Goldman Sachs Analysis So Far
According to the analysis report by Goldman Sachs, the current overall market cap of BTC amounts to $884 Billion. This $884 Billion only accounts for one fraction out of five for the ‘Store Value Market’.
On the other hand, the remaining four portions of the ‘Store Value Market’ are in the hands of gold. In addition, the overall market cap for gold amounts to $2.6 Trillion.
Yet, for the financial year of 2021, according to the yearly returns score by the Goldman Sachs, the BTC tops the charts in yearly higher returns of 60%. On the other hand, gold is at the rock bottom with only 4% in yearly returns for the year 2021.
A Project Engineer by profession, a writer by passion. Especially into the critics and skeptics on cryptocurrency. His fascination towards the crypto world and his personal experience on it has made him a writer with a taste.