Goldman Sachs: Rumored Pullback On Bitcoin Is “Fake News”br>
A senior executive at Goldman Sachs said a report that it is backing away from a cryptocurrency trading desk is “fake news.” The original story in Business Insider spooked the market on Thursday. That resulted in a near $1,000 per coin drop in bitcoin prices, while hammering other altcoins.
The executive’s comments at the TechCrunch Disrupt Conference in San Francisco immediately stopped the bleeding in the market. As of early morning, bitcoin stabilized at the $6,400 level, and some of the top ten coins had minor gains. Both are significant after the slaughter of the previous day.
“When we talked about exploring digital assets that it was going to be exploration that would be evolving over time,” said Goldman Sachs chief financial officer Martin Chavez.
“Maybe someone who was thinking about our activities here got very excited that we would be making markets as principals in physical bitcoin, and as they got into it, they realized that is part of the evolution. But it’s not here yet.”
The Business Insider story blamed regulatory uncertainty for the alleged Goldman pullback. The fact that one of Wall Street’s major players and biggest bitcoin advocates was changing course panicked investors.
The report indicated Goldman was focusing on a custody product for cryptocurrencies. Chavez addressed that rumor
“From the perspective of custody, we don’t yet see an institutional-grade custodial solution for bitcoin,” Chavez said. “We’re interested in having that exist and it’s a long road.”
Chavez added that Goldman was trying to develop over-the-counter derivatives for bitcoin. “They’re settled in U.S. dollars and the reference price is the bitcoin-U.S. dollar price established by a set of exchanges,” he said.
Bitcoin market highlights for the 24 hours ending September 7, 2018 at 1:00 pm US Eastern Time
The highest price seen was $6,638.39 on the Cryptonex exchange at 10:31 pm yesterday. Cryptonex saw $18,637,350 of bitcoin change hands.
The lowest price seen was $6,176.73 on Cryptonex’s exchange at 6:37 am today. Cryptonex’s 24 hour volume was $18,637,350.
The average price on the surveyed exchanges, as weighed by volume, was $6,467.20.
Volatility was a bit lower than average, with the BlockTribune Volatility Index coming in at 43.8. A higher number indicates greater price volatility with 50 describing an average day.
These statistics were consolidated from 20 different exchanges. It includes only BTC/USD trades and only on those exchanges that had at least 1% of the total volume of BTC/USD trades during the measurement period.