Institutions have no appetite for Bitcoin at this price level: JPMorgan Chase

As Bitcoin (Bitcoin) The price failed to stay above US$35,000 yesterday. Based on the volatility of BTC and gold, JPMorgan Chase expects the overall bearish trend to be below the critical price level.

in a notes In its report to investors on Wednesday, JPMorgan Chase detailed its reasons for believing that the mid-term fair value of Bitcoin is between US$23,000 and US$35,000. If the largest cryptocurrency matches the configuration and volatility of gold, the banking giant has previously outlined a road map of $140,000.

However, according to the JP Morgan Chase report, this situation is impossible in the foreseeable future. The report predicts “complete convergence or equilibrium of volatility or distribution.” [between gold and bitcoin] It is unlikely in the foreseeable future. “

JPMorgan Chase also stated that China’s crackdown on the mining business will have a positive impact on Bitcoin in the medium term, “because it accelerates the transformation of China’s high share of Bitcoin’s hash rate and reduces concentration.”

Not many organizations joined MicroStrategy hunting Buy dipping sauce. “More than a month after the cryptocurrency crash on May 19, even though the inflows of physical gold ETFs stopped, Bitcoin funds continued to bleed,” JPMorgan Chase added:

“This shows that institutional investors who tend to invest through regulated instruments such as publicly listed bitcoin funds or CME bitcoin futures are still not interested in buying bitcoin down.”

related: As the gray-scale BTC unlocking day approaches, the price of Bitcoin fell below $34,000

According to JPMorgan Chase, another major factor preventing a possible bull market is the end of the 6-month lock-up period of the Grayscale Bitcoin Trust Fund, which inflows nearly $4 billion in December and January.As Cointelegraph report, July 19 will be the most important single unlock day, which will release 16,000 BTC, worth about 627 million US dollars.

Following a record high in April, Bitcoin has hovered between US$30,000 and US$40,000 in the past few weeks.Rear Diving under US$29,000 June 22, BTC Price is around 34,000 USD, According to Cointelegraph Markets Pro with Transaction view data.