Goldman Sachs Sees Crypto Market Recovery Amidst Trading Volume Decline

Goldman Sachs is optimistic about the crypto market despite a significant decline in trading volumes. According to its latest report, the bank expects crypto activity to recover if the market maintains its current valuation of around $2.8 trillion.

The total cryptocurrency market capitalization has recovered 21% over the past week, and Goldman analysts believe that rising asset prices can bring more retail and institutional activity to exchanges, providing additional transaction revenue for platforms such as Coinbase and Robinhood.

Goldman Sachs maintained buy ratings on Coinbase Global and Robinhood Markets, with price targets of $196 and $124 respectively. The bank's positive assessment was based not only on expectations for higher cryptocurrency trading but also the companies' expansion into tokenized stocks, prediction markets, perpetual futures, and other financial products.

The acquisition of Neos Investments by Goldman Sachs is expected to add crypto-linked products to its asset-management business, including options-based income ETFs linked to Bitcoin and Ethereum. The deal is subject to regulatory approval and is expected to close during the first quarter of 2027.