In the opinion of JPMorgan's experts, institutional demand for Bitcoin "is not strong enough" to return its rate above $ 40,000. Currently, Bitcoin costs around $ 33,200 per coin.
JPMorgan: Bitcoin's return to $ 40,000 questionable
Cryptocurrency enthusiasts hoping Bitcoin (BTC) will soon return above $ 40,000 may disappoint. According to strategists at JPMorgan Chase & Co. under the leadership of Nikolaos Panigirtzoglou, it is unlikely that the world's largest cryptocurrency will reach this level in the near future.
The reason is weakening institutional demand, say strategists of the American investment bank. They explain that the pace of capital inflows to Grayscale Bitcoin Trust - the largest cryptocurrency fund in the world - "seems to be reaching its peak." "It's not strong enough for Bitcoin to exceed $ 40,000," they add.
Bitcoin, however, has the potential to hit $ 146,000 in the long term, up 340% from the current price, JPMorgan strategists said earlier this month. In their opinion, the most popular cryptocurrency will attract more and more investors as an alternative to gold.
BTC above USD 33,000
At the time of publication of the article, Bitcoin is traded at $ 33,206, which means an increase of approx. 2% over the last day. On a weekly basis, it is below 8% minus.