Goldman Sachs Sees Bitcoin Price Consolidation Around $8,000 Before Heading Up

Goldman Sachs is very interested in Bitcoin. This summer, Goldman’s research department began regular updates on Bitcoin’s price movements. In October, they announced they are exploring a new operation for trading bitcoin and other digital currencies. So what do they see regarding Bitcoin’s current trajectory?

Bitcoin’s price may have smashed through the $5000, $6000 and $7000 levels over the past few weeks, but technical analysts expect it to go higher. The level at which consolidation is expected to occur is $8000, according to Goldman Sachs.

In a note to investors, Goldman Vice President Sheba Jafari wrote:

“THE MARKET HAS SHOWN EVIDENCE OF AN IMPULSIVE RALLY SINCE BREAKING ABOVE 6,044. NEXT IN FOCUS $7,941. MIGHT CONSOLIDATE THERE BEFORE CONTINUING HIGHER.”

Long term trend is up

While Goldman Sachs has cautioned against traders expecting a rapid surge past $8000, they expect it to go higher after some consolidation, reports Cointelegraph.

Referencing Elliott Wave Theory, Jafari writes:
“GIVEN THAT THIS IS JUST A THIRD OF FIVE WAVES UP, THE IMPLICATIONS ARE THAT BITCOIN HAS POTENTIAL TO RUN FURTHER OVER TIME.”

So, apparently it looks good for Goldman to jump in while the water is warm.