The $1.9 Trillion Stimulus By U.S. Government Can Fuel Further Rally Into Bitcoin (BTC), Goldman Sachs Stays Bullish

11. Mar 2021 Posted by Akolkar B on News

On Wednesday, March 10, the House Democrats approved the $1.9 trillion Coronavirus stimulus relief package as the bill is formally awaiting President Joe Biden’s signature on it likely to happen by this Friday.

Well, the new stimulus bill is most likely to flush additional liquidity to the market thereby creating a positive case scenario for Bitcoin (BTC) price to rise further. Over $5 trillion in stimulus has been released by the U.S. government over the last year and the same has reflected in the BTC price.

Wall Street banking giant Goldman Sachs has confirmed that there’s a significant demand from its customers for owning and investing in Bitcoin. Speaking to Reuters on Wednesday, bank President and Chief Operating Officer John Waldron said: “Client demand is rising. We are regulated on what we can do. We continue to evaluate it ... and engage on it.”

Goldman Sachs has recently started its cryptocurrency trading desk and this month it has also gone ahead with the launch of Bitcoin futures. On the other hand, Goldman Sachs is also exploring ways to offer crypto custodial solutions as well as coming up ahead with its own Bitcoin exchange-traded-fund (ETF).

Waldron said that Goldman is currently in talks with regulator and central banks on how banks should be regulated while dealing with digital money.

In another news, Israeli pension giant Altshuler Shaham said that it has invested $100 million into the Grayscale Bitcoin Trust (GBTC) last year, reports local press. Altshuler Shaham is one of the biggest investment houses in Israel managing over $50 billion in total assets.

The source has further stated that “Altushler has an alternative assets department that has ETH and BTC wallets. They were active in the past at some degree, and are looking into space again”.

Institutional interest in Bitcoin (BTC) continues to rise further. As per the recent survey by London-based crypto fund Nickel Digital Asset Management noted that 85% of institutional investors holding Bitcoin (BTC) and other cryptocurrencies plan to increase their allocation in this asset class over the next two years.

Of all the institutional players surveyed, 21% of them said that Bitcoin (BTC) would continue to surge dramatically ahead in 2021 while 56% of them believed that it will only rise marginally.