JP Morgan bank analyst Nikolaos Panigirtzoglu, who in early June predicted a possible decline in the price of bitcoin within the corridor from 24 to 36 thousand dollars, updated his forecast in an interview with the American television channel CNBC.
At first glance, one of the analyst’s ideas put into the title by the TV channel looks pessimistic:
“The interest of institutional companies in cryptocurrencies not only diminished, but turned negative.”
However, during the conversation, Nikolaos Panigirtzoglu explained that it is about the fact that over the past few weeks, investors have begun to transfer funds from other digital assets to Bitcoin, thereby changing the trend that began in April, when there was a large influx of investor funds in altcoins.
The analyst stressed that:
“The flow of funds, even in Ethereum, has noticeably decreased over the past two to three weeks, while the outflow of funds from bitcoins has slowed down.”
The observed phenomenon could mean that the bear market for bitcoins is likely to come to an end.
The JP Morgan expert believes that for institutional investors, the very value of bitcoin is a more important factor for investing in this asset than the known volatility of this financial instrument. He believes that the further integration of the world of institutional companies into the Bitcoin sphere will lead to a “normalization” of the situation with the volatility of the # 1 cryptocurrency.
Nikolaos Panigirtzoglu believes that in the foreseeable future, investments in BTC will increase and the level of Bitcoin dominance, which is now 45%, will overcome the psychologically important threshold of 50%.