Altcoins
Will Bitcoin and Altcoins Continue to Rise?
THE cryptocurrency market made another bullish move, led by major cryptocurrency Bitcoin. However, JPMorgan analysts say any cryptocurrency rebound from here is unlikely to be long-lasting. Analysts also expect Bitcoin and gold to benefit from a potential second Donald Trump presidency.
Bitcoin and Altcoin Price Recovery Won’t Last!
How did you follow? Kriptokoin.comThe cryptocurrency market has been on an upward trend over the past week. However, it is not yet clear whether this will continue. Analysts at JPMorgan say that any rebound in cryptocurrency prices from this point on could be tactical (temporary and strategic) rather than the start of a permanent uptrend. They note that the price of around $67,500 that Bitcoin has seen in the recent rally is high compared to its cost of production, which is around $43,000, and its volatility-adjusted comparison to gold, which is around $53,000.
JPMorgan analysts led by Chief Executive Nikolaos Panigirtzoglou wrote in a report Thursday that the difference between the price of Bitcoin and JPMorgan’s volatility-adjusted gold benchmark “indicates a mean reversion around the zero line, thus limiting any upside potential for BTC long-term prices.”
Cryptocurrency Bounce Expected Starting August!
Analysts reiterate that Encrypt Rebounds expected from August onwards, while liquidations decrease after July. Bitcoin futures are expected to recover from the liquidation of creditors of Gemini and Mt. Gox, as well as the sale of confiscated BTC by the German government. Analysts say that these liquidations are likely to subside after July and that they expect a rebound in Bitcoin futures from August onwards, in line with the recent gains seen in gold futures. In this context, analysts make the following assessment:
We believe that momentum traders such as CTAs (commodity trading advisors) play an important role in gold futures. The momentum signal for gold rose in July towards the overbought zone last April.
JPMorgan Comments on Possible Second Trump Presidency
Bitcoin and gold are expected to benefit from a potential second Donald Trump presidency, according to analysts at JPMorgan. Analysts say some investors see Trump as more supportive of crypto companies and regulations than the current Biden administration. Analysts add that Trump’s potential trade policies could push emerging market central banks, particularly the People’s Bank of China, to turn to gold.
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