The largest cryptocurrency, Bitcoin, is recovering from its losses last year. Last year was marked as unlucky for the crypto market. Investors and crypto users faced the worst bear markets in the past few months due to the sudden collapse of FTX, Terra, and Celsius Network.
Last weekend Bitcoin price gained 38.21% to reach the $23,000 mark after plunging to $16,547. Goldman Sachs has called Bitcoin the “world’s best-performing asset of 2023.”
Earlier, the second largest investment bank said that the most precious metal, Gold, will outperform the largest cryptocurrency, Bitcoin, in the long term. It said that “Gold is a useful portfolio diversifier.”
In December, Goldman Sachs stated, “Bitcoin’s volatility to the downside was also enhanced by systemic concerns as several large players filed for bankruptcy. Tighter liquidity should be a smaller drag on Gold, which is more exposed to real demand. Moreover, Gold may benefit from structurally higher macro volatility and a need to diversify equity exposure.”
At the start of the year Robert Kiyosaki, the well-known author of the best-selling book ‘Rich Dad Poor Dad’ advised crypto users to buy Bitcoin again. He alerted users that the Securities and Exchange Commission’s (SEC) regulations “will crush most of the cryptocurrencies.”
At the end of 2022, Robert Kiyosaki tweeted that he started investing in one of the largest cryptocurrencies, Bitcoin. He highlighted that “Bitcoin is classified as a commodity much like gold, silver and oil.” As most of the crypto tokens are classified as a security, he bought more Bitcoin.
Goldman Sachs collaborates with MSCI and Coin Metrics
Goldman Sachs intended to spend $10 million (USD) to buy or invest in crypto companies after the downfall of one of the largest crypto exchanges, FTX. The ‘Big 4’ firm came up with an innovative idea to classify crypto assets and tokens on the platform.
The partnership between Morgan Stanley Capital International (MSCI) and Coin Metrics will introduce a new theme called “Datonomy.” It will help increase transparency in the digital asset ecosystem.
MSCI has 50 years of experience in research, data, and technology. Coin Metrics organizes the world’s crypto data to make it more transparent and accessible. This great collaboration will help in the growth of the new invention, “Datonomy.”
It provides “a consistent, standardized way to help market participants view and analyze the digital asset ecosystem, creating an increased level of transparency.” This new theme will help monitor crypto asset market trends and analyze the upcoming risks.
Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.
Source: https://www.thecoinrepublic.com/2023/01/29/bitcoin-as-worlds-best-performing-asset-of-2023-goldman-sachs/