Goldman Sachs: Bitcoin to Pullback at $8,000

• Goldman Sachs: Bitcoin to Pullback at $8,000

The recent upsurge in Bitcoin value has left investors wondering when the high-flying cryptocurrency would call the top.

For Goldman Sachs technical analysts Jafari and Jack Abramowitz, this could be at $8,000 price level. According to Goldman Vice President Sheba Jafari that is the level at which consolidation is expected to occur.

“The market has shown evidence of an impulsive rally since breaking above 6,044. Next in focus $7,941. Might consolidate there before continuing higher.”

Therefore, Goldman Sachs caution traders against expecting too much past $8,000, as the cryptocurrency is expected to consolidate before bullish continuation.

“Given that this is just a third of five waves up, the implications are that bitcoin has potential to run further over time,” they said, citing pricing levels tracked by technical analysts under what’s known as Elliott Wave theory.”

The current projection, $8,000, double $4,000 correctly predicted by Sheba Jafari a few months ago. However, government regulations and other headwinds are expected to influence the price going forward. Meaning looking at charts in isolation is not enough to make a viable projection.