- The cryptocurrency market has been in a downward trend for years. However, reports suggest a possible recovery and bull turnaround in popular cryptocurrencies in the field.
- Analysts at JP Morgan stated that there is a high probability of the crypto markets transitioning from the downward trend caused by liquidations and market turbulence to a complete correction phase.
- World-leading financial service providers such as Blackrock, Ark Investment, Hashdex, and Grayscale are already competing to secure a place for Bitcoin ETFs.
Could the price of Bitcoin be on the verge of recovery? JP Morgan’s latest report shares predictions about the cryptocurrency market.
JPMorgan’s Report on Bitcoin
The cryptocurrency market has been in a downward trend for years. However, reports suggest a possible recovery and bull turnaround in popular cryptocurrencies in the field. JP Morgan predicts a potential price recovery for Bitcoin and states that long-term liquidations are “largely behind us.”
Analysts at JP Morgan, led by chief analyst Nikolaos Panigirtzoglou, stated that there is a high probability of the crypto markets transitioning from the downward trend caused by liquidations and market turbulence to a complete correction phase.
According to them, the crypto market has managed to overcome significant negative factors that have been pushing the market “limited downwards.” Their predictions are also based on indicators of a decrease in open positions in Bitcoin futures contracts, which are traded on the Chicago Mercantile Exchange (CME), a global derivatives market.
The crypto market showed a significant downward trend after Bitcoin’s progress, disruptive market shocks, and regulatory obstacles. The sharp decline of Terra stablecoin was one of the major challenges the sector faced, leading to the erasure of over $200 billion from the crypto asset space.
The collapse of FTX set back the evolution of cryptocurrencies by several years, shaking investors’ confidence in the crypto space and indicating a lack of better regulatory framework in the sector.
The U.S. Securities and Exchange Commission (SEC) pursued new victims by filing lawsuits against leading exchanges and crypto firms such as Binance and Coinbase.
All in all, Bitcoin’s struggle against evolutionary pressures has yielded positive results. A crypto analyst revealed that the increase in on-chain transfers observed in Bitcoin network activity is a great indicator for a possible macro uptrend in the cryptocurrency.
Bitcoin Price on the Verge of Recovery After Positive Developments in the Crypto Space
The prices of major cryptocurrencies, including Bitcoin, have been pushed upwards due to significant developments in the crypto space. Ripple’s victory against the SEC is one of these developments. The XRP ruling given by Judge Annalise Torres brought new optimism to the field and provided fundamental regulatory clarity for cryptocurrencies.
In addition, the increasing number of applications for spot Bitcoin exchange-traded funds (ETFs) has significantly boosted the price of Bitcoin. World-leading financial service providers such as Blackrock, Ark Investment, Hashdex, and Grayscale are already competing to secure a place for Bitcoin ETFs.
There are also rumors of a possible collaboration between Bitcoin and Elon Musk’s SpaceX to enable cross-border payments for space-related activities.
Overall, the crypto market is showing signs of stability as it overcomes major industry barriers. Crypto investors are eagerly awaiting the potential recovery of Bitcoin and other cryptocurrencies.
