Yesterday, influential multinational finance company Goldman Sachs made headlines when it boldly declared that most Cryptocurrencies would fall to zero. While many in the Crypto community criticized the statement, calling it just the latest example of the old guard fearing change. It certainly does come at an uncertain time when even the truest of believer’s faith is being tested in the wake of ever falling prices.

What many seemed to ignore in the wake of this prediction, was that Goldman Sachs might be playing a more intentionally manipulative game than most people seem to be giving them credit for. Instead of merely warning people about the dangers of investing in Crypto, what if the company was actually working to prepare the market for its arrival. Low prices may be bad news for the thousands of early adopters who have watched their fortunes get erased in the past month, but for those only just now preparing to enter the space, it’s looking awfully like a buyers’ market.


While taken at face value the comments made by the companies’ head of Investment Research, Steve Strongin, paint a rather gloomy future for Cryptocurrencies as a whole. There are legitimate reasons to believe that Goldman Sachs might just be working to soften up the market even further, before their own entry into it later this year. After all, it wasn’t long ago that The Wall Street Journal broke the story of Goldman quietly setting up a new trading operation to get involved in Bitcoin and other digital currencies.

Further proof of Goldman’s long-term Crypto investment plans came only two months later when Bloomberg news broke their own story on the same topic. Suggesting that the company was working behind the scenes to set up a digital currency trading desk. Bloomberg even asserted to having multiple high ranking and reliable sources backing up this claim. In that story, published less than two months ago, it was suggested that Goldman was hoping to have their new Crypto trading desk operational by the end of June if not even earlier.

So while some may suggest this new statement merely implies that the company has altered course and changed their plans regarding digital currencies. I think there is reason to believe Goldman Sachs is instead just using its mighty influence to lower prices down even further before they buy in big. After all, what could more instantly rebound the markets, then a major buy-in from a respected finance company like Goldman Sachs? Time that with an updated and more optimistic memo from the company regarding digital currency, which they will inevitably release after their purchase, and it’s easy to imagine how the company might just be playing us all for suckers.

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  • samuelmwc

    So really? This doesn’t make sense to anyone? I mean a few billion to hedge against the possibility this might blow up? More important: just bc one guy in the research department writes a note to distribute to their customers about what’s happening in the market does NOT mean that’s Goldman’s “official” stance on that asset class or market. That’s just silly. You need to understand that these functions have little to do with each other. This is sensationalist, self-inflicted panty-twisting.

    • Bugatti Tofu

      I can’t link it or it gets flagged as spam, but google

      “Betting against Bitcoin: Low Number of Shorts Shows Skeptics are Scared”

      and the numbers speak for themselves

  • Ed Edgerton

    Cryptocurrencies sound like a good way to make anonymous payments. The problem is taxes. The (((big banks))) want cryptocurrency values to be in constant flux so that they are a tax headache for people who use them on a regular basis. Forget about storing money in cryptocurrencies as an investment, however. There is no underlying value, so, although they are taxed like investment funds, they are not good investments.

    • Jim

      Tell that to folks who have been holding bitcoin since it was under a dollar.

      • Ed Edgerton

        Tell that to folks who bought winning lottery tickets.

    • Bugatti Tofu

      The problem is millennials don’t trust the government or the stock market. How about a public ledger for all public officials, police, garbage, and so on. Then we can talk about taxes.

      • Ed Edgerton

        I am not sure what you mean by “public ledger” etc. I am also not sure what you mean by “then we can talk about taxes.” It sounds like you think that there should be no taxes until there is a “public ledger,” but your comment is not clear to me.

  • Eddie Leong

    Of course. Never believe these Goldman Sucks announcements.

  • disqus_rKQ5Ytsqxe

    they are not respected. Goldman Sachs are corrupt fuckers.

  • Thomas Rebotier

    Market manipulation of this type is a federal crime since the 30s. Will the SEC have the balls to take GS to task?

  • CryptoWatcher

    Goldman is old crypto is new 🙂 #SmartCash