Among some of the large corporations that are getting involved in cryptocurrency, JPMorgan was one of the most prominent because they are one of the largest banks in the world and have access to a customer base in the millions and their going into cryptocurrency acted as a seal of approval and showed that cryptocurrency was on its way to being taken seriously within the global financial world.
They announced earlier this year that they will be launching their JPM coin which is a stablecoin to be used for the facilitation of transactions among customers. The coin, which is still in development, was only matched in anticipation by the Libra token by Facebook and now it seems that Goldman Sachs is weighing in on other cryptocurrencies besides its own and it’s taking a bullish approach.
Bullish on Bitcoin
This development came via a note to customers shared on Twitter on August 11, 2019, where Goldman Sachs gives a bullish forecast for bitcoin by suggesting a short-term target price of $13,971.
This is over $2,000 more than the current price of bitcoin and shows that the corporation is expecting growth within the industry. The prediction is based on the Elliott wave Theory which states that market trends can be predicted by identifying exchanging investor psychology with the price increase and decrease.
The analyst says that bitcoin will rebound from support around $11,094 which leaves the opportunity for increase towards $12,916 and $13,971. This movement impact will complete a V wave count from July which produces a short-term top or consolidation.’
The analyst also goes on to suggest that this could be the first line of a 5 wave count which means there a retracement from the 2 potential price levels will present an opportunity for buying into the market and after the consolidation, the price will again increase unless it goes below the previous low of $9,084.
This note is very telling him that JP Morgan is expecting the price of bitcoin to continue to hold over the next few weeks and months even as the long-standing crypto winter finally broke a few months ago. During the last two crypto winters, there was fear that the market would not rebound and that it would spell the end of bitcoin. just like the previous winters, a rebound eventually took place and the fact that JP Morgan is speaking on the potential prices of bitcoin shows that they too are optimistic