TLDR
- Goldman said crypto drawdowns are close to historical cycle averages.
- Crypto-related stocks are about 46% below their October 2025 highs.
- Goldman kept buy ratings on Robinhood Figure Technologies and Coinbase.
- Low-volume periods usually last about three months before a stronger recovery.
- Goldman said weaker volumes could cut 2026 revenue 2% and profit 4%.
Goldman Sachs says the crypto market may be nearing a cycle bottom after months of broad declines. The bank said current drawdowns are close to past peak-to-trough averages, while related stock valuations look better. Still, Goldman warned that weak trading volumes could delay any lasting recovery across Bitcoin and crypto equities.
Bitcoin and crypto prices show signs of stabilizing
In a March 28 research note, analyst James Yaro said Bitcoin and the crypto market were near average cycle declines. He said prices had remained volatile in recent weeks, yet the market was starting to stabilize. That view framed the report around valuation rather than near-term momentum.
Bitcoin traded near $60,000 this week after failing to hold above $72,000 earlier in the move. That retreat followed another rejection near a closely watched resistance zone. Trade Nation analyst David Morrison said the short-term direction still looked unclear.
Yaro also warned that low trading volume can trigger sharper moves across Bitcoin and related assets. He said any rebound may be hard to sustain when activity stays weak. So the bottom call came with a clear note of caution.
Crypto stocks look cheaper after a steep pullback
Goldman said crypto-related stocks are down about 46% from their October 2025 highs. The bank said that decline now sits close to past cycle averages. As a result, valuations across several digital asset names look more attractive again.
Goldman kept “buy” ratings on Robinhood, Figure Technologies, and Coinbase in the report. The bank said each stock had fallen at least 50% from previous highs. Yaro said those digital asset targets were presenting better entry points again.
The report focused on companies tied to trading activity, brokerage flows, and digital asset demand. Those shares often track Bitcoin, but they also depend on healthy volumes. Because of that, lower prices alone may not support a quick rebound.
Volume risks may weigh on 2026 results
Goldman warned that trading volumes could fall further before a stronger recovery begins. Yaro said low-volume periods usually last about three months before a more durable turn. During that stretch, price swings can remain severe and sudden.
The report said a deeper volume slowdown could cut 2026 revenue by 2% for crypto firms. It also said profits could fall 4% if trading activity stays soft. That estimate linked market conditions directly to next year’s earnings outlook.
Goldman still said the market may be near a cycle bottom after the recent sell-off. However, the bank did not call for a fast return to earlier highs. Instead, it pointed to cheaper valuations and a still-fragile trading backdrop.
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