JPMorgan Chase believes that Bitcoin is “bullish prospects” because inflation concerns push up BTC prices – Economics Bitcoin News

Global investment bank JPMorgan Chase stated that inflation concerns have pushed the price of bitcoin to historical highs, rather than interest in the recently launched bitcoin futures exchange-traded fund (ETF). The company pointed out that investors are withdrawing gold ETFs into Bitcoin funds, “the flow changes are still intact, supporting Bitcoin’s bullish outlook by the end of the year.”

JPMorgan Chase believes that inflation has pushed up the price of Bitcoin

JPMorgan Chase analysts led by Nikolaos Panigirtzoglou published a research report last week explain Inflation has been pushing the price of Bitcoin to historical highs instead of the hype surrounding the first US Bitcoin Futures Exchange Traded Fund (ETF).

Proshares Bitcoin Strategy ETF, stock code BITO, Start trading On Tuesday, it quickly accumulated a $1 billion investment. The second U.S. Bitcoin futures ETF roll out Friday.

JPMorgan Chase analysts believe that “for its part, the launch of BITO is unlikely to trigger more new capital into a new phase of Bitcoin,” detailed:

On the contrary, we believe that Bitcoin is a better inflation hedge than gold is the main reason for the current rise, triggering the shift from gold ETFs to Bitcoin funds since September.

The analyst added: “The initial hype about BITO may fade after a week.”

Bitcoin price Soar According to data from Markets on Tuesday, it hit a record high of $66,899. At the time of writing, BitcoinThe price is approximately US$61,249. It has risen by about 40% since the beginning of this month and has risen by more than 90% since the beginning of the year.the price of Bitcoin When the market expected the US Securities and Exchange Commission (SEC) to approve the Bitcoin futures ETF, the price of Bitcoin rose sharply.

JPMorgan Chase analysts not only explained that the real driver behind the rise in bitcoin prices is growing concerns about inflation, but they also pointed out that this has prompted investors to seek investments that can hedge this risk, such as gold and bitcoin.

Gold used to be an effective tool to hedge against inflation. However, it has failed to respond to concerns about rising cost pressures in recent weeks. Analysts pointed out that this has prompted investors to explore alternative investments. Many people have switched from gold ETFs to Bitcoin funds, adding:

This traffic shift remains intact, supporting Bitcoin’s bullish outlook by the end of the year.

JPMorgan Chase analysts are not the only ones who believe that Bitcoin is a better hedge against inflation than gold.Recently, billionaire fund managers Paul Tudor Jones He also stated that Bitcoin has won the competition with gold, and he prefers cryptocurrency to gold as an inflation hedge.

What do you think of JP Morgan’s Bitcoin view? Let us know in the comments section below.

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