{"id":15951,"date":"2024-08-08T19:18:38","date_gmt":"2024-08-08T16:18:38","guid":{"rendered":"https:\/\/forklog.com\/en\/jpmorgan-highlights-institutional-investors-role-in-bitcoins-resilience\/"},"modified":"2024-08-08T19:18:38","modified_gmt":"2024-08-08T16:18:38","slug":"jpmorgan-highlights-institutional-investors-role-in-bitcoins-resilience","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/jpmorgan-highlights-institutional-investors-role-in-bitcoins-resilience\/","title":{"rendered":"JPMorgan Highlights Institutional Investors’ Role in Bitcoin’s Resilience"},"content":{"rendered":"

Institutional investors have largely maintained their positions in the leading cryptocurrency despite market turbulence, aiding in the rebound of its price, according to JPMorgan, as reported by The Block<\/a>.<\/p>\n

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Analysts observed that the cumulative open interest in futures on the CME<\/span>, along with the positive slope of the instruments’ curve, indicates a bullish sentiment among this market segment. This is further evidenced by the premium over the spot price.<\/p>\n

Experts believe institutional investors have several reasons to remain optimistic.<\/p>\n

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  1. Morgan Stanley has allowed advisors to recommend BTC-ETFs to certain clients.<\/li>\n
  2. The major liquidations following the bankruptcies of Mt.Gox and Genesis<\/a> are behind us, and upcoming fiat payments to FTX creditors later this year could boost demand.<\/li>\n
  3. Main US political parties are signaling support for favorable cryptocurrency regulation.<\/li>\n<\/ol>\n

    Despite these drivers, experts suggest they are largely priced in.<\/p>\n

    According to analysts, the recent local low of $49,000 aligns with the bank’s estimate of the coin’s mining cost at ~$45,000.<\/p>\n

    \n“If Bitcoin’s price remained at this level or fell below it for an extended period, it would pressure miners. This, in turn, could increase the selling of the leading cryptocurrency,”<\/em> they explained.<\/cite><\/p><\/blockquote>\n

    Experts linked the market’s downturn to “contagion” from TradFi<\/span>.<\/p>\n

    They noted that retail investors initiated the negative trend\u2014BTC-ETFs experienced one of the largest net outflows since their launch<\/a>. Additionally, momentum traders played a role.<\/p>\n

    JPMorgan remains cautious about cryptocurrency prospects, despite the recent correction, considering the vulnerability of stock markets.<\/p>\n

    According to Alex Thorn from Galaxy Digital, 600,000 BTC changed hands in the range of $66,200 to $66,900, marking the largest on-chain cluster (~3% of circulating supply) after the $0-736 range.<\/p>\n

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    BITCOIN IN ACCUMULATION MODE<\/p>\n

    600k BTC has changed hands between $66.2k & $66.9k, the largest price band of onchain movement since $0-736. that’s 3% of #bitcoin<\/a>‘s circulating supply pic.twitter.com\/GCsqTsy8Di<\/a><\/p>\n

    \u2014 Alex Thorn (@intangiblecoins) July 31, 2024<\/a><\/p><\/blockquote>\n