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Valencia, Spain, April 5th 2021: A golden bitcoin on the dirty hand of a miner. Metaphor of mining … [+]<\/span> BTC and cryptocurrencies. Digital business and decentralized finances concept.<\/span><\/p>\n getty<\/small> Wall Street titan Goldman <\/p>\n GS<\/a> The Breakdown You Need To Know:<\/strong><\/p>\n With the price of gold currently around $1,800 per ounce, Bitcoin has the potential to cross the $100,000 milestone in the coming years<\/a>, according Goldman Sachs analyst Zach Pandl. He wrote that within a few years if its share of the store of value market were to \u201chypothetically\u201d reach 50% the cryptocurrency could reach this six-figure milestone.<\/p>\n “Bitcoin may have applications beyond simply a “store of value” – and digital asset markets are much bigger than Bitcoin – but we think that comparing its market capitalization to gold can help put parameters on plausible outcomes for Bitcoin returns,” Pandl wrote according to Reuters.<\/p>\n CultureBanx<\/a> noted that as institutional investors like Goldman Sachs engage in these derivatives, they\u2019ll be looking to ease their cautiousness by having a reliable benchmark for their performance. Using a commodity like gold is perhaps a good place to start as the financial firm pointed out that Bitcoin has a $700 billion market cap, compared to gold\u2019s nearly $2.6 trillion owned as an investment.<\/p>\n Goldman Sachs has already allowed their wealth management clients to invest in Bitcoin and other digital assets. Its private wealth management division is catered towards the wealthiest of clients, those with a minimum of $25 million to invest<\/a> and they wanted in on the Bitcoin action. While Goldman Sachs dips its toes in the cryptocurrency markets, Morgan Stanley <\/p>\n
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\n Sachs seems to be all in now when it comes to Bitcoin and claims the cryptocurrency currently has a 20% share of the “store of value” market. This means the asset, Bitcoin, can maintain its worth over time without depreciating, in comparison to precious metals or some currencies. Even though the digital currency remains highly volatile, trading above $46,000, it\u2019s far from the all-time high in November 2021 of\u00a0 $69,000. Will Goldman Sachs’ cosign of Bitcoin as digital gold, increase confidence in other major financial institutions to do the same?\u00a0<\/p>\n