Goldman Sachs discloses his cryptocurrency positions

[Ben Graham]

While the cryptocurrency market is undergoing a difficult period, financial giant Goldman Sachs has for the first time disclosed sizable positions in digital-asset products, allocating about $1.1 billion to spot Bitcoin ETFs. The disclosure is a landmark for the industry, underlining growing acceptance of digital assets by traditional financial institutions. Investment of that scale by one of the world's largest investment banks highlights the market's evolution from a niche phenomenon toward a more mainstream component of investment portfolios.

Beyond Bitcoin, Goldman Sachs has also signaled confidence in the Ethereum ecosystem, investing roughly $1 billion in corresponding spot Ethereum ETFs. The bank's roughly $108 million exposure to XRP further indicates a diversified approach to the crypto market, spanning established assets and projects on the rise.

Notably, all these allocations were made via spot ETFs. That choice underscores Goldman Sachs's preference for regulated, vetted instruments to access the crypto market, reducing operational and compliance risks and aligning with internal governance requirements. Regulatory approvals for spot ETFs by agencies such as the US SEC have opened a path for institutional investors to participate in crypto markets through familiar financial vehicles.

Goldman Sachs's disclosure not only confirms institutional interest but may also act as a catalyst for additional capital inflows into the crypto sector. Moves by prominent financial institutions can encourage other investors to consider digital assets more actively as part of their portfolios, signaling increasing maturity and potential for the asset class.

Trading recommendations:

From a technical perspective, buyers of BTC are now targeting a return to $68,900, which would open a direct path to $72,100 and then $74,600. The extended target is the peak near $77,300. A break above that level would indicate attempts to restore a bullish market. On the downside, buyers are expected at $65,600. A decline below that area could quickly push BTC toward $62,600, with a further downside target near $60,100.

As for Ethereum, a clear consolidation above $1,972 would open a route to $2,060. The extended target is the peak near $2,169. Breaching that level would strengthen bullish sentiment and renew buyer interest. If ETH falls, buyers are anticipated at $1,874. A move below that zone could rapidly send ETH down to about $1,783, with a farther downside target near $1,685.

What we see on the chart:

- Red lines indicate support and resistance levels where either a price slowdown or active growth is expected;

- Green lines indicate the 50-day moving average;

- Blue lines indicate the 100-day moving average;

- Light green lines indicate the 200-day moving average.

A crossover, or a price test of moving averages, typically either halts the move or sparks fresh market momentum.

The material has been provided by InstaForex Company - www.instaforex.com