Bitcoin (Bitcoin) This week rose by 35%, well above the resistance level of $50,000 and restored the asset’s market value of $1 trillion.
According to a report shared with clients by JPMorgan Chase on Thursday, the recent price increase Bitcoin Mainly due to institutional investors seeking to hedge against inflation.
The analyst said: “Investors’ concerns about inflation have reappeared and rekindled interest in using Bitcoin as an inflation hedge,” and believe that people’s views on the value of Bitcoin have changed. Bitcoin Relative to gold.
“Institutional investors seem to be returning to Bitcoin, perhaps seeing it as a better inflation hedge than gold”
The agency is not alone: Shark Tank star Kevin O’Leary said earlier this week Compared with gold, encryption now accounts for a larger proportion of his portfolio.
Analysts pointed out that Bitcoin’s momentum is in sharp contrast to JPMorgan Chase’s May report The big investors at the time were switching from Bitcoin to traditional gold.
The implicit recognition of Bitcoin by major banks and regulators will accelerate Bitcoin’s collapse # Gold The rise of harmony #Bitcoin As the preferred means of hedging value storage for institutional and retail investors.https://t.co/7os1ojenHs
— Michael Saylor ⚡️ (@michael_saylor) October 7, 2021
JPMorgan Chase provided two other factors that it believes are driving the current rebound:
The analyst pointed out: “U.S. policymakers have recently assured that they have no intention of following China’s ban on the use or mining of cryptocurrencies,” and:
“The recent rise of the Lightning Network and second-tier payment solutions has benefited from the adoption of Bitcoin in El Salvador.”
Unlike other analysts this week, JPMorgan Chase did not cite the surrounding Bitcoin futures ETF is about to be approved As an important driver of prices.
Bitcoin According to CoinMarketCap data at the time of writing, the current transaction price is $53,884.76.
Although some departments of JP Morgan Chase expressed growing interest in crypto assets and blockchain plans, CEO Jamie Dimon said in an interview on October 22 that he still doubted Bitcoin and even Compare it to “a little fool’s gold”.