JPMorgan Predicts When Bitcoin Bear Market Will Be Over Markets and Prices Bitcoin News – Bitcoin News

Global investment bank JPMorgan has predicted that the bitcoin price slump will likely be over when the cryptocurrencys dominance rises back above 50%. I think thats another indicator to watch here in terms of whether this bear phase is over or not, the firms analyst explained.

JPMorgan analyst Nikolaos Panigirtzoglou has shared his view of when he expects the current bitcoin bear market to be over. In an interview with CNBC on Tuesday, the analyst explained that the bitcoin price slump will likely end when the cryptocurrencys market share of all cryptocurrencies climbs back above 50%. He explained:

A healthy number there, in terms of the share of bitcoin as a percentage of the total cryptocurrency market cap, is 50% or above. I think thats another indicator to watch here in terms of whether this bear phase is over or not.

It was like 60% back in the beginning of April, the JPMorgan analyst recalled, adding that bitcoins relatively low market share was a negative signal that suggests interest in BTC remains relatively subdued. However, Panigirtzoglou pointed out that bitcoins market share had risen in recent weeks.

Bitcoins dominance is currently about 46% and BTCs price stands at $34,609 at the time of writing, based on data from Bitcoin.com Markets.

While the JPMorgan analyst sees little sign of big investors buying the dip in bitcoin, he noted:

The flow into ethereum funds has slowed over the past two to three weeks, at the same time as the flow into bitcoin funds has improved. That means there is perhaps a relative value opportunity that some institutional investors are seeing to buy bitcoin and sell other cryptocurrencies.

Last week, another JPMorgan analyst said that the crypto market is healing even though it is not yet healthy. Furthermore, the near-term outlook for the crypto market is challenging, the analyst added, warning of more sell-offs.

Panigirtzoglou said earlier this month that there was an unusual development in the bitcoin futures trend. We believe that the return to backwardation in recent weeks has been a negative signal pointing to a bear market, he wrote.

Meanwhile, JPMorgans CEO, Jamie Dimon, said last month during his congressional testimony before the House of Financial Services Committee regarding cryptocurrency that his personal advice to people is to stay away from bitcoin. Nonetheless, he acknowledged that JPMorgans clients want exposure to the cryptocurrency.

What do you think about JPMorgans bitcoin prediction? Let us know in the comments section below.

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JPMorgan Predicts When Bitcoin Bear Market Will Be Over Markets and Prices Bitcoin News - Bitcoin News