Most JPMorgan Clients See Bitcoin ($BTC) Surpass $60,000 This Year
Most of JPMorgan’s clients have revealed they see the price of Bitcoin surpass the $60,000 before the end of this year, with 41% saying the cryptocurrency will trade at that level by the end of the year, 9% seeing it above $80,000 and 5% calling for $100,000.
According to a note published last week, reported on by Bloomberg, other JPMorgan clients were bearish: 20% revealed they see BTC trade at $40,000, while 23% said the cryptocurrency could be trading at $20,000 by the end of the year. Only 2% of its clients pointed to $10,000.
Nikolaos Panigirtzoglou, a JPMorgan strategist and author of the research note that included the survey, was quoted saying:
I’m not surprised by Bitcoin bearishness. Our Bitcoin-position indicator based on Bitcoin futures looks oversold.
Panigirtzoglou has added he believes bitcoin’s fair value is between $35,000 and $73,000, depending on what investors assume about its volatility ratio versus gold. As CryptoGlobe reported, JPMorgan strategists led by Panigirtzoglou have last year set a $146,000 price target for the flagship cryptocurrency over the long term.
Late last year, the strategists suggested Ethereum’s ether ($ETH) is a better bet than BTC as interest rates rise because the second-largest cryptocurrency by market capitalization powers an ecosystem of decentralized applications.
JPMorgan’s analysts noted that rising interest rates could put downward pressure on the price of bitcoin, just as they traditionally do for gold. Bitcoin’s price has boomed over the last few years, in a world where ultra-low interest rates and massive bond-buying have been the norm.
Rival investment bank Goldman Sachs has published a report where analysts said that Bitcoin’s price could increase to surpass the $100,000 mark if the flagship cryptocurrency manages to take further market share away from gold in the so-called “store of value” market.
The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, or other advice. Investing in or trading cryptoassets comes with a risk of financial loss.
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