Goldman Sachs Bullish On Bitcoin & Gold As Recession Signals Continue

Recent analyst reports from Goldman Sachs suggests investors should take advantage of the current Bitcoin price dip and buy now.

In a series of slides prepared by one of Goldman’s technical analysis teams and distributed to clients, the bank included one that put the short-term target Bitcoin price at $13,971.  They echo the sentiment shared by many that we are currently in a dip and that now is an ideal time to buy.

Bullish On Bitcoin Goldman Sachs

Source: Goldman Sachs

According to the report, there is also the potential that this could be the first leg of a five-wave count of price rises.  This means that any decrease in Bitcoin price from the $12,916-$13,971 level (where we’re currently at and have been for a few months) would be a smart buying opportunity.

This latest report from Goldman Sachs further adds to the sentiment that investors are once again eyeing the crypto industry.  Last year, Fidelity Investments revealed they would be launching a digital assets division, and earlier this year JP Morgan analysts claimed that Bitcoin has “intrinsic value”.

More recently, billionaire VC investor Tim Draper reaffirmed his belief in a $250k Bitcoin price by Q1 2023 at the latest.  These increasingly bullish feelings from Wall Street and institutional investors around the world will no doubt help drive up the price of Bitcoin in the coming months and years.

Gold was also mentioned favorably in the series of slides from Goldman, particularly in a scatter chart (see below) that “helps to identify where trends in the market are extending or turning on a week by week basis.”  Gold is featured in the “Strong and Stronger” quadrant, which means it has strengthened for both of the past two weeks. The chart also includes a note indicating that it is yet “another week in the top right quadrant for Gold/precious metals”.

Bullish On Bitcoin Goldman Sachs Percentage Increase

Source: Goldman Sachs

This comes in conjunction with a recent note sent to clients by Goldman Sachs saying that the bank expects the US-China trade war won’t be resolved before the 2020 presidential election.  They also said they believed that the economic slowdown will continue and that a recession is likely. Investors have already seen the stock market take a tumble as a result of geopolitical instability, and the U.S. has accused China of manipulating the value of the yuan to damage the profitability of American exports.

These economic conditions have caused analysts to speculate that the recent run-up in cryptocurrency and gold prices has in part been caused by Chinese investors wanting to protect their assets against a devaluing yuan.  This would mean that Bitcoin and gold prices would benefit even further from the continuation of the trade war and a subsequent recession.

BITCOIN DOMINANCE CONTINUES

Bitcoin’s dominance was down slightly this week, to 66% in total.  BTC saw significant growth in activity on futures markets, and many feel that we are currently in a bottom.  Several major analysts see a Falling Wedge pattern on the charts though, indicating that the Bitcoin price has a 70 percent chance of a bullish breakout

China’s digital currency is ready after five years of R&D.  An official from the People’s Bank of China (PBOC) recently stated that the CBDC (Central Bank Digital Currency) prototype exists and that the PBOC’s Digital Money Research Group has already adopted the blockchain architecture for the currency.  China’s CBDC won’t rely purely on the blockchain however, as they want a solution that has sufficient throughput required for retail use.

Mastercard recently added three job openings to their website pertaining to blockchain product management.  According to the job description, they are developing a blockchain wallet solution that will likely be a rival to Facebook’s upcoming wallet Calibra.

GOLD PRICE NOW TARGETING $1,550 LEVEL

After overnight buying took gold to $1,470 an ounce, the precious metal is now targeting the $1,500 level.  According to the MKS PAMP Group, an investment firm, “Early European bids underpinned the metal to a USD $1,470 high, with consolidation above USD $1,500 the key to a further extension of the recent move higher. Gold will now look to target resistance toward USD $1,480-$1,500, while USD $1,520 looms as a pivot for near-term pricing.”

Goldman Sachs also sees gold’s rally as far from over, with analysts saying that ““Gold prices have increased further as a weaker CNY sparked substantial U.S. and global growth fears. With growth worries likely to persist, gold could rise further, driven by an increased ETF allocation from portfolio managers, who continue to under-own gold.”

With no trade deal expected before the 2020 presidential election, investors will see higher gold prices due to increased global growth fears, added Goldman.  Gold’s ETF demand is also on a strong upward trend, with the bank upping its 2019 forecast from 300 to 600 tonnes.

Now is the time to take advantage of the rising price of gold and protect yourself from stock market volatility.  Indicators are showing that these bullish trends will continue in the gold markets, giving you an excellent opportunity for immediate growth and providing protection for your assets against future economic downturns.  Don’t miss out on this opportunity. Act now and reap the benefits of crypto investments.

Catching up on Quantum Computing

QC1

Conventional computing which has been evolving following Moore’s Law still uses basic switching and memory units of computers, known as transistors, are now approaching the point where they’ll soon be as small as individual atoms. The need for computers that are smaller & more powerful than today’s is leading us to the realm of atoms opening up powerful new possibilities in the shape of QC, with processors that could work millions of times faster than the ones we use today.

Quantum Computing (QC)  is gaining attention as IBM, Microsoft, Amazon, Google and many leading organizations are extremely focused & reasonably investing in this field. Visualize a version of Google Maps that can precisely calculate the time of your arrival, down to the second, based on a simulation of historical traffic patterns. Imagine a next-gen kid visiting six-flags with a new version of Rollercoaster, where the likes and dislikes of every kid in the theme park are determined by a fully simulated childhood. What if a future version of Adobe Photoshop with brushes that behave with all the quirks of a real, physical implement? Let us take a look at Quantum Computing use cases across industries.QC Use cases

Making a business case for Quantum Computing requires identifying the ‘minimal viable products’ with just enough core features to enter the market. If companies can access a quantum computer through an API in the cloud, they can take advantage of the speed 1Qbit1without that overwhelming overhead. This is an area where 1QBit takes the lead. 1QBit facilitates your transition into the world of quantum computing. 1QBit API as depicted to the right helps the enterprises access the quantum computing/ processing power with this API. 1QBit’s APIs are built on hardware-agnostic platform, allowing them to continuously benefit from both the improvements made to the underlying algorithms and the integration of advancements in classical and quantum hardware.

1QBit is paving path overcoming refactoring of applications and at the same time enable in receiving the best available computational solutions. 1QBit provides industry-leading partners in finance, energy, advanced materials, and the life sciences with solutions to high-value optimization, simulation, and machine learning problems

D-Wave is another firsts in Quantum Computing to develop commercial apps using QC and has been collaborating with Google, the US National Aeronautics and Space Administration (NASA) and the Washington DC-based Universities Space Research Association (USRA) on setting up a Quantum AI Lab. D-Wave is driving the hardware forward by bifurcating the QC applications and software tools. Its Qbsolv available in open source, is designed to help developers program D-Wave machines without needing a background in quantum physics. Qbsolv offers a tool that can make this impact graphically visible, by getting researchers and practitioners involved in charting the future directions of quantum computing developments.

May be within 5 years, QC is  going to be a technology that will be very much in use in all sorts of businesses!