In late 2020, he saw Bitcoin make an incredible recovery from the price drop at the beginning of the COVID-19 pandemic.
After months of increased institutional support, the price of bitcoin has risen sharply to over $ 60,000, its all-time high.
When the figure fell below $ 60,000 for a short time, there were concerns about an incoming bear run similar to what happened after the huge bull cycle in 2017.
So far, the bitcoin price seems fairly stable, and this current price stability will make the token more attractive to institutional investors, according to a recent JPMorgan note.
What did JPMorgan say about Bitcoin?
Investors’ note claims that investors who want to diversify their portfolios can find Bitcoin an attractive offer. In the past, such investors could have been removed from Bitcoin due to its notorious volatility, but now that the price appears to have stabilized, further adoption may occur.
Investors entering the Bitcoin market more than ever before seem to have swallowed the bait. Other assets, such as gold, moved away from investors as many turned towards digital assets. Since October, gold has seen an outflow of $ 20 billion compared to $ 7 billion in the Bitcoin market.
“Given how large the financial investment in gold is, this kind of escape from gold as an ‘alternative’ currency would mean a huge boost for bitcoin in the long run,” says JPMorgan.
With a fixed price of over $ 50,000, experts are currently looking at a price point of $ 130,000, which JPMorgan says is a real possibility if certain factors are present.