JPMorgan analysts believe that the price rally of Bitcoin before the halving has already occurred. According to the banking giant, BTC will reach a maximum of $54,000/58,000 before April 2024.
Summary
JPMorgan: the price rally before Bitcoin’s halving has already occurred
While investors expect a price rally before the upcoming Bitcoin halving scheduled for April 2024, for banking giant JPMorgan, this rally has already occurred.
Basically, analysts led by Nikolaos Panigirtzoglou see that the current price trend of BTC between $50,000-52,000 already includes the impact of the pre-halving phase.
At most, Bitcoin could reach a value between $54,000-58,000 before April 2024, the moment of the long-awaited halving. This theory is also emphasized by Michaël van de Poppe, CEO & Founder MN Trading Consultancy.
“The theory for #Bitcoin remains the same. I expect to see a top between 54,000-58,000 dollars before the opening. Altcoins will essentially run and then there will be a harsh correction.”
This is a Bitcoin price prediction that dampens various hopes, instead based on the current trend, with the rally of BTC seeming to fade.
Indeed, in the last week, BTC is trying to stay above $51,000. If this trend were to persist, it would mark the first negative week for Bitcoin since the beginning of its recent rally at the end of January.
JPMorgan and Bitcoin price predictions ahead of the April 2024 halving
Actually, in the last month, BTC has recorded a price pump of +28%. At the time of writing, in fact, Bitcoin is worth $51,506.
JPMorgan analysts have found that the flow of Bitcoin from smaller wallets, often associated with retail traders, has significantly exceeded that of institutional investors.
The Panigirtzoglou team has verified that all of this has happened considering also the inflows of new ETFs on Bitcoin spot traded on the stock exchange.
In this regard, JPMorgan strategists have predicted for the three main crucial events in the crypto space, as follows:
“The recovery of momentum in retail in February may reflect the anticipation of three main cryptocurrency catalysts in the coming months: the Bitcoin halving event, the next major Ethereum network upgrade, and the prospect of approval of spot ETFs on Ethereum by the Securities and Exchange Commission in May. We believe that the first two catalysts are already largely priced in, while for the third catalyst we see only a 50% chance.”
Tether as a risk for the crypto market
Recently, JPMorgan analysts have also expressed their concerns about Tether, stating that the expansion of USDT market share among stablecoins could pose a risk to the crypto market.
This risk is to be understood “in perspective”, given that Tether’s (USDT) current success in the last two years has made it the leader in the stablecoin market but in the face of a lack of regulatory compliance and transparency.
According to JPMorgan, stablecoin issuers that are more aligned with existing regulations will likely benefit from an imminent tightening of regulatory oversight on stablecoins, gaining market share.
The hypothesis is that soon stablecoins could be subject to greater regulation. Not only that, JPMorgan’s reference is on USDC, behind which there is indirectly Coinbase, and PYUSD, behind which there is PayPal.
