Cryptocurrency Market Crash Make Little Impact on US Household Wealth Goldman Sachs Analysts Claimed, Crypto Market Crash Will Not Have a Big Impact on American People: Goldman Sachs

Analysts at banking giant Goldman Sachs claim that even though American households account for a third of the global cryptocurrency market in terms of total investments, the recent downturn in the crypto market will have little impact on the economy. Analysts at Goldman Sachs say that according to last year’s data, the total US household assets were $ 150 trillion (about Rs 1,16,31,27,920 crore).

On the other hand, the crypto market has lost a value of $1 trillion (approximately Rs.77,53,395 crore) over the last year. Thus, economists believe that this figure is still “too small” for the entire US household net worth.

One of the Goldman Sachs by Bloomberg Study It showed that spending decreased 3 cents with a loss per dollar in shares. This five-month sell-off in 2022 means spending cuts of more than $300 billion (about Rs 23,26,265 crore). According to a Goldman Sachs study, stocks accounted for 33 percent of the total US household net worth as of the end of 2021. On the other hand, the share of crypto was only 0.3 percent.

Economists at Goldman Sachs wrote, “These patterns imply that volatility in equity prices is the main driver of changes in household net worth, whereas cryptocurrency There are only minor contributors.”

Furthermore, Goldman Sachs does not expect the ongoing market correction to lead to a major jump in labor force participation among young men.

The bank believes that stricter financial conditions will encourage more people to return to work, noting that the fall in crypto prices will have a ‘limited scope’ in that regard.<!–