After a brutal series of price drops lasting since the peak in October 2025, Goldman Sachs has just issued a signal indicating that the cryptocurrency market may be very close to the bottom of this phase. However, this is not the time to fomo blindly, as the "bottom" is often accompanied by a depletion of liquidity and extreme frustration.
Under the lens of macro data analysis, you need to grasp the following key points to optimize your position:
🔷 Bottom Signal: Valuation Returns to Attractive Levels
Analysts from Goldman Sachs have pointed out the telling numbers, reinforcing the argument that the market is in the final stages of the correction phase:
Historical cycles repeat:
The current decline level of the overall market has approached very closely to the average adjustment range of previous "hibernation" cycles.
Crypto stocks are "deeply discounted":
Since the peak established in October 2025, the group of stocks related to cryptocurrencies has evaporated about 46% of their value.
This sharp drop has pulled the valuations of Web3 companies back to extremely attractive levels for institutional money.
An optimistic view from large capital flows:
Goldman Sachs has particularly expressed a positive outlook on stocks of infrastructure technology companies like Figure Technologies and leading digital asset brokers in the U.S.
This confidence shows that smart money is still highly evaluating the long-term profitability of companies holding transparent trading infrastructure, similar to Binance's unique position in the global market.
🔶 Warning: "Liquidity Long Night" & Business Pressure
Even though valuations are cheap, the report also candidly points out the headwinds that the entire industry faces in the short term:
The evaporation of trading volume:
The fear of retail investors will cause trading volume to continue to weaken.
This is a lagging indicator confirming that the market is at a frustrating bottom.
The damage to corporate revenue:
The drying up of liquidity will directly impact the "rice cooker" of companies in the industry.
Forecast for 2026, the revenue and profits of the entire Crypto industry may experience downward pressure of 2% and 4%, respectively.
Testing timeframe:
History shows that these "liquidity bottom" phases usually do not end overnight.
It will drag on and exhaust the crowd's endurance for about 3 months before real money truly returns and creates a significant recovery.
🔷 Action Strategy
Goldman Sachs' report is confirmation from the TradFi perspective that the risk of deeper declines is narrowing.
The upcoming 3-month low liquidity fund is precisely the "window of opportunity" for long-term investors to plan DCA into core assets.
Be patient in accumulating positions when the market is at its most frustrated, rather than trying to use leverage to "catch the falling knife" immediately.
All information is compiled from Goldman Sachs' macro report aimed at analyzing market trends, absolutely not investment advice.
The bottoming phase always carries the risk of prolonged sideways movement, causing significant psychological pressure. Always self-research and plan strict capital management for your portfolio.