JPMorgan financial holding strategist Nikolaos Panigirtsoglu did not rule out a further decline in the price of the first cryptocurrency, writes Yahoo Finance.
“Previously, we argued that the inability of bitcoin to overcome the barrier at $ 60,000 will automatically lead to a bearish momentum and lead to further closing of positions. This probably became a significant driver of the last week’s correction, which pushed stock trading consultants and investors following the impulse to cut positions, ” the expert said.
In the context of the medium-term perspective, Panigirtsoglu is confident that the fundamentally sound value of bitcoin is in the range of $24,000-$36,000. He also expressed the opinion that the May market crash greatly weakened institutional demand, which is why the price of BTC will not recover to its former levels.
“There is no doubt that the recent boom and bust dynamics serve as an obstacle to the institutional adoption of the cryptocurrency markets and, in particular, Bitcoin and Ethereum,” the expert explained. – A simple increase in volatility, especially in relation to gold, is a barrier to institutional adoption. It reduces the appeal of digital gold compared to traditional gold.”
JPMorgan CEO Jamie Dimon urged investors to stay away from cryptocurrencies.
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