Bitcoin News: JPMorgan analysts said institutional investors traded Bitcoin for gold for the first time in six months. This orientation came after the big crash that Bitcoin dropped to $ 30,000.
Is the target for Bitcoin 130 thousand dollars?
Earlier this year, JPMorgan analysts updated the Bitcoin price target to $ 130,000. According to Business Insider, analysts have said that Bitcoin must reach this target price “to match the total private sector investment with gold”.
However, the investment bank warned that “a convergence in fluctuations between bitcoin and gold is unlikely to happen quickly and is probably a long process,” making $ 130,000 a long-term target.
Since then, JPMorgan has taken steps to support Bitcoin and help institutional investors access cryptocurrency. JPMorgan can help customers buy Bitcoins if they want, according to CNBC.
Dimon, who previously described Bitcoin as a fraud and later said he regretted the comment, said that he is “not a Bitcoin supporter” despite JPMorgan’s support for helping his customers buy Bitcoins. Many Bitcoin supporters have long argued that Bitcoin is digital gold. According to JPMorgan’s research, institutional investors trade digital gold for traditional gold. This is happening at a time when Bitcoin’s highest price is nearly half the price.
“The value it deserves is 35 thousand dollars”
After reaching peaks above $ 60,000, Bitcoin is still below $ 40,000 after a slight increase in price. While the Bitcoin futures markets also experienced a significant liquidation, gold ETFs saw rising entries.
As a result, JPMorgan stated that the current fair value price for Bitcoin will be $ 35,000, depending on the volatility between Bitcoin and gold.