Homecryptocurrency News

JP Morgan predicts long-term Bitcoin price may reach $150,000

This article is more than 4 month old.

JP Morgan predicts long-term Bitcoin price may reach $150,000

Mini

JPMorgan has predicted that the long-term price of Bitcoin may reach $150,000, up from $146,000 as predicted last year. The current fair value has been pegged at $38,000, up from $35,000 as predicted last year. According to Coinbase, the price of Bitcoin has risen by 17.35 percent in the past seven days and in the last 24 hours the price declined by 0.76 percent.

JP Morgan predicts long-term Bitcoin price may reach $150,000

Global investment bank JPMorgan in its latest report has predicted that the long-term price of Bitcoin may reach $150,000, up from $146,000 as predicted last year. They have pegged the current fair value at $38,000, up from $35,000 as predicted last year, and deemed the crypto currency to be overvalued at 13 percent.

“The biggest challenge for Bitcoin going forward is its volatility and the boom-and-bust cycles that hinder further institutional adoption,” JPMorgan strategists said.

As of today, Bitcoin is about four times as volatile as gold, the strategists, led by Nikolaos Panigirtzoglou, said in the report. At this level, Bitcoin’s total market value would be on par with that of all gold held privately for investment purposes, they said.

According to the report by Bitcoin.com, they calculated the coin’s honest worth with regard to it being roughly four times as risky as gold, and they predict that if the volatility differential narrows to three times, then the true worth of Bitcoin may go up to $50,000.

At the time of writing this story, the price of Bitcoin is $43,051.45. According to Coinbase, the price of Bitcoin has risen by 17.35 percent in the past seven days and in the last 24 hours the price declined by 0.76 percent.

Looking at the metrics, investors seem optimistic about the market moving upwards, therefore they are maintaining a bullish stance, said Greg Foss, executive director of strategic initiatives at Validus Power Corp, in a report by Blockworks.com.

A JPMorgan client survey indicated that respondents believe the price of Bitcoin will reach up to $60,000 or above.

However, JPMorgan CEO Jamie Dimon had warned against investing in crypto currencies, questioning its limited supply, and citing that the assets have no intrinsic value.

“I personally think that bitcoin is worthless,” Dimon said in October last year. He also mentioned that crypto currencies in future will be subjected to harsh regulations, and they may even be considered illegal in some parts of the world.

next story

Market Movers

Currency

CompanyPriceChng%Chng