According to JPMorgan, Bitcoin (BTC) will always reach 146,000 dollars … On one condition

Bitcoin price: JPMorgan reiterates its prediction

At the start of 2021, JPMorgan had distinguished itself by predicting a very optimistic price target for Bitcoin: 146,000 dollars. A few months later, the institution had revised this objective downwards, starting with 130,000 dollars in the long term.

In a note to the bank’s clients, analysts are currently reiterating their most optimistic forecast, but accompanying it with a caveat. According to Markets Insider, which reports this publication, JPMorgan considers that institutional investors will not move massively towards BTC as long as its volatility is high.

Problematic volatility for investors?

At the current stage, Bitcoin exhibits four to five times higher volatility than gold. This would prevent a category of investors from turning to cryptocurrency. JPMorgan notes as an example that the price of BTC played a roller coaster in April and May this year, which eroded the confidence of institutional players.

Consequence of this: Analysts estimate that the “fair price” of a BTC would currently be around $ 35,000. But they note that volatility is fading, which is quite positive for the cryptocurrency.

๐Ÿ‘‰ To read – United States: towards the approval of a real Bitcoin ETF (BTC) by the SEC?

The institution remains very optimistic

JPMorgan notes, however, that the competition between gold and Bitcoin continues to rage, and that the advantage is more on the cryptocurrency side at the moment:

โ€œGiven the size of the investment in gold, any transfer outside of gold to an ‘alternative’ currency currently implies strong growth in Bitcoin over the long term. “

For 2022, analysts set a price target of $ 73,000. They consider that the price of BTC could again show a high volatility, even go down to 30,000 dollars, but that the objective of 146,000 dollars is possible in the longer term. The sector has indeed solidified since the Covid-19 crisis:

โ€œThere is little doubt that cryptocurrencies and digital assets in general are an emerging asset class, and therefore are in a structural uptrend that spans several years. [โ€ฆ] Digital assets have emerged as the clear winners after the pandemic. “

This morning, a BTC is trading for $ 62,400, and the largest cryptocurrency’s capitalization exceeds $ 1,100 billion. Cryptoassets as a whole are currently worth $ 2.8 trillion.

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About the author: Marine Debelloir

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Deputy Editor-in-Chief on Cryptoast, I fell into the pot of cryptocurrencies a few years ago. I am passionate about the innovative technologies that arise from the blockchain and I like to find the most delicious information to share with you.
All articles by Marine Debelloir.

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