COINOTAG News reports that a JP Morgan research note reframes the recent Bitcoin pullback as a meaningful correction rather than a deterioration in demand, signaling the market remains in a constructive phase for crypto assets.

The note highlights short-term drivers, including ETF outflows from basis-trading unwind, liquidation pressure on overleveraged long positions, a year-end liquidity crunch, and softer macro conditions ahead of the Fed decision, all suggesting temporary volatility rather than a structural turn.

Looking ahead, JP Morgan argues that institutional interest persists, progress in real-world applications, and a growing tokenization trend support a scenario of healthy adjustment, not a renewed bear market.