17.06.2024

JP Morgan Bank Experts Confident Bitcoin Will Become Center Of New Financial Revolution

In a new address to its clients, JP Morgan bank expressed optimistic expectations about the long-term prospects of Bitcoin. The main message: crypto is gradually turning into a global phenomenon, so it will soon become an integral part of the financial world .

However, in the medium term, BTC may also go through a “shake-up”. Yet markets are still recovering from the aftermath of the coronavirus pandemic, which marked the beginning of the battle between the banking sector and innovation.

We checked the actual data: Bitcoin is trading at $ 55,710 this morning, up 7.3 percent from a day ago. At the same time, at night, the cryptocurrency managed to overcome the level of 56 thousand and set a new all-time maximum at $ 56 612. Overall, BTC’s market cap is well above the trillion dollar line.

Here is a chart of the Bitcoin price for a week. Seven days ago, the cryptocurrency was valued at $ 47,140.

bitcoin chart rate

Bitcoin price chart for a week

What will happen to Bitcoin in a few years?

As stated in the appeal, millennials and generation Z – that is, younger people – will be the main players in the struggle of the crypto market against traditional assets. Here is a replica of the bank representatives, quoted by Decrypt.

Bitcoin’s competition with gold as an “alternative” currency is likely to continue as millennials become a more important part of the investor ecosystem and favor digital gold over precious metal.

This opinion has become generally accepted among the management of large banks: despite all the instability, high mining costs and the fact that you cannot use it as your everyday medium of exchange, Bitcoin is very popular among millennials. They follow new trends and will soon constitute the main share among the clients of financial institutions. Therefore, the latter are simply obliged to reckon with innovations.

But the JP Morgan report also states that Bitcoin is ostensibly just «the economic side of the matter» for what is considered the beginning of a new era after COVID-19. In other words, the rapid growth of BTC in recent years is a fundamentally new trend on which you can make good money.

Fintech innovation and increased demand for digital currencies are the real results of the impact of COVID-19 with the rise of online startups and the expansion of digital platforms for lending and payments. There are currently 58 fintech companies with a market cap of over $ 1 billion, many of which will soon be battling banks for digital supremacy.

Bitcoin bullrun cryptocurrency market bull

The moment the Bitcoin price reaches $ 100,000 is only a matter of time

In addition to all of the above, JP Morgan analysts also did not forget about the recent investment in Bitcoin from Tesla. Experts once again insisted that the $ 1.5 billion investment in BTC was an unexpected move that other organizations are unlikely to repeat. The bank does not expect large companies to rush to copy Elon Musk’s strategy. Most likely, they will take a wait and see attitude on this issue.

By the way, Musk himself seems to be one hundred percent confident in the bright future of digital assets. Most recently, he responded to comments from Changpeng Zhao, CEO of cryptocurrency exchange Binance. He expressed his sincere surprise at the fact that Elon had previously been very actively promoting the altcoin Dogecoin on his Twitter. Additionally, Zhao mentioned Musk’s strong support for Bitcoin.

Tesla co-founder and «CEO» DOGE noted that today «only a fool» will not look for alternatives to traditional assets, given the current interest rates. Here’s a quote from him on Twitter.

Tesla’s actions do not directly reflect my opinion. Having some bitcoin, which is a less stupid form of liquidity than cash, is adventurous enough for an S P500 company.

However, Musk also said that it would be foolish not to look for alternative investments as long as «the paper currency shows negative growth in value.» Here is his line.

When a fiat currency has a negative rise in value, only a fool would not seek [investment] elsewhere. Bitcoin is almost as good as paper money. The key word is «almost.»

In other words, in the next few years, «alternative assets» will increasingly attract the attention of the management of large financial institutions. And this trend is likely to set the tone for the development of the financial world in the next decade – and Bitcoin will be at its core.

We think the point of view of the JP Morgan representatives is extremely interesting. Yet not so long ago, employees of a financial institution, along with their leader Jamie Dimon, opposed Bitcoin and other cryptocurrencies. However, now they not only see value in coins, but also predict the further development of the situation. And since critics have managed to change their minds about BTC, then its future seems very bright indeed.

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