JPMorgan Chase has identified $94,000 as Bitcoin’s critical support level, representing what the banking giant calls the market’s ‘pain threshold.’ This updated figure reflects Bitcoin’s rising production costs amid increasing network difficulty and suggests limited downside from current trading levels. While establishing this fundamental floor, the analysis led by Nikolaos Panigirtzoglou maintains a bullish $170,000 medium-term target based on volatility-adjusted comparisons with gold.
about JPMorgan: Bitcoin's Pain Threshold at $94,000Nikolaos Panigirtzoglou
0 posts last weekJPMorgan Bullish on Bitcoin Despite Market Crash
Despite Bitcoin’s recent crash below $100,000, JPMorgan analysts maintain a surprisingly optimistic stance. The banking giant forecasts Bitcoin could surge to $170,000 within 6-12 months, citing current undervaluation compared to gold. This bullish outlook comes amid significant market volatility and record liquidations that have tested investor sentiment across the crypto market.
about JPMorgan Bullish on Bitcoin Despite Market CrashBitcoin Whales Trigger 10% Correction Amid ETF Inflows
Bitcoin experienced a significant 10% correction this week, dropping from highs above $124,000 to around $110,900. Bitcoin Magazine CEO David Bailey attributes the decline to two major whales liquidating 80,000 and 120,000 BTC respectively, with speculation that Binance may be orchestrating the sell-off through market maker Wintermute. Meanwhile, institutional adoption continues to accelerate, with public companies now holding over 6% of Bitcoin’s total supply—a development that JPMorgan analyst Nikolaos Panigirtzoglou describes as ‘private sector quantitative easing’ that is reducing Bitcoin’s volatility. Despite the current downturn, Bailey maintains a $150,000 price target, representing a 36% upside from current levels.
about Bitcoin Whales Trigger 10% Correction Amid ETF InflowsGlobal Regulators Prefer Tokenized Deposits Over Stablecoins
JPMorgan’s research indicates that global regulators, including the Bank of England, are leaning toward tokenized bank deposits rather than stablecoins, as they integrate blockchain technology while maintaining traditional banking protections like central bank liquidity and AML compliance. Non-transferable tokenized deposits, which avoid price fluctuations, are gaining regulatory support, unlike stablecoins that can be volatile due to market risks. While the UK questions bank-issued stablecoins, the U.S. is advancing the GENIUS Act to promote stablecoin use in payments. JPMorgan is also exploring tokenized solutions, including a deposit coin pilot on Base and trademark filings for programmable finance applications.
about Global Regulators Prefer Tokenized Deposits Over StablecoinsJP Morgan: Bitcoin Outshines Gold with More Upside Potential
JP Morgan analysts highlight Bitcoin’s superior upside potential compared to gold, citing crypto-specific catalysts like corporate treasury allocations and regulatory advancements. The report notes Bitcoin’s rally to $104,000, just 5% below its all-time high, fueled by ETF inflows outpacing gold. Recent acquisitions by Coinbase, Kraken, and Gemini underscore a maturing derivatives market, which could boost institutional participation. While gold may benefit from geopolitical tensions, Bitcoin’s risk-on behavior and regulatory progress position it favorably for continued growth in 2024.
about JP Morgan: Bitcoin Outshines Gold with More Upside PotentialTether Faces Compliance Challenges Amid New US Stablecoin Regulations
JPMorgan analysts predict that Tether may need to sell non-compliant assets, including Bitcoin, to adhere to new U.S. stablecoin regulations under the STABLE and GENIUS Acts. Currently, only 66% and 83% of Tether’s reserves comply with these proposed bills, respectively, raising concerns about declining compliance ratios amid increasing stablecoin supply. Tether faces significant challenges in the U.S. market, where stricter transparency and reserve audit requirements could pressure its dominant position.
about Tether Faces Compliance Challenges Amid New US Stablecoin RegulationsBitcoin Shows Strong Correlation with Russell 2000 Tech Stocks According to JPMorgan
JPMorgan’s analysis reveals that Bitcoin is more closely correlated with small-cap tech stocks in the Russell 2000 Index than with precious metals, particularly during market fluctuations. This relationship highlights Bitcoin’s ties to venture capital and tech innovation, suggesting its role in institutional portfolios may strengthen as the lines between cryptocurrency and traditional markets continue to blur.
about Bitcoin Shows Strong Correlation with Russell 2000 Tech Stocks According to JPMorganMiCA Regulation May Enhance Adoption of Euro Stablecoins in Europe
JPMorgan analysts predict that the EU’s MiCA regulation, effective December 30, 2024, could significantly increase the market share of euro-pegged stablecoins, currently at just 0.12%. The regulation will compel issuers to comply or exit, potentially benefiting compliant entities like Societe Generale and BBVA. Despite higher compliance costs, MiCA may attract institutional investors and enhance the adoption of euro stablecoins, while Tether seeks to maintain a presence in Europe through strategic investments.
about MiCA Regulation May Enhance Adoption of Euro Stablecoins in Europe