Goldman Sachs plans to spend millions on crypto-related investments after FTX’s downfall, report says
Goldman Sachs hasn’t pulled back on its digital asset plans despite the catastrophic downfall of one of crypto’s biggest players.
In fact, the Wall Street giant plans to spend “tens of millions” on investments in crypto companies even after FTX’s implosion, Reuters reported on Tuesday.
FTX, the once $32 billion crypto empire that imploded after a “run on the bank”, leaving the exchange bankrupt and thousands of customers with lost deposits, left a huge dent in the industry. Crypto’s market cap has plunged more than two-thirds since its all-time high in November of 2021, according to Massari.
Disgraced founder Sam Bankman-Fried was reportedly misusing client funds but maintains that it was an accounting mistake, despite reports indicating otherwise.
The firm’s downfall not only took a toll on token prices but pulled down company valuations. Goldman Sach’s head of digital assets, Mathew McDermott, says this could be the right time to snatch up or invest in crypto companies at a discount.
We do see some really interesting opportunities, priced much more sensibly, he told the outlet, adding that Goldman’s doing its due diligence on a number of firms.
GOLDMAN SACHS TECHNICAL ANALYSIS DAILY CHART:
In the daily chart, Goldman Sachs currently is trading in the up channel. Goldman Sachs is currently trading below 5 & 20 SMA.
RSI is in the Selling zone which shows bearishness. And stochastic is suggesting a downtrend.
Goldman Sachs’s immediate support level is at 358.58 & resistance level is at 362.97
HOW TO TRADE IN THIS WEEK
Goldman Sachs is trading in an up channel, it will continue to trade upside until any trend reversal, so remain bearish on it.
TRADE SUGGESTION: BUY AT 358.58, TARGET AT 372.60, SL AT 353.33