Despite Chairman Jamie Dimon’s prior criticism of Bitcoin, JPMorgan Chase now seems to be on the side of cryptocurrencies.
This is following a brief recovery bounce, the cryptocurrency markets are presently being rejected. JPMorgan claims that despite the present market concerns, the markets may have reached a bottom.
The Merge results in positive market metrics
JPMorgan Chase analysts assessed the health of the cryptocurrency markets on Monday and offered their thoughts in a note. According to CNBC, they said that the cryptocurrency markets had “found a floor” recently.
The LUNA disaster and 3AC fiasco’s ability to spread virus into space seemed to have come to a stop, according to the experts. JPMorgan thinks cryptocurrencies will continue to rise from here as a result of the aforementioned and comparable events that have already impacted the markets.
They noted two potential drivers of the current bull rally. The first, according to them, is the diminishing impact of the LUNA, 3AC, and Voyager Capital problems. According to the experts, “what has helped has been relatively restricted fresh contagion from the fall of Terra/Luna.”
However, the experts pointed out that the second trigger is what really makes the positive market metrics happen. The second, according to them, is the anticipation for the imminent Ethereum Merge.
The Ropsten and Sapolia testnets’ successful launches, they said, were evidence of The Merge’s impending reality.
The cryptocurrency market is now falling.
These remarks from JPMorgan analysts are being made at a time when the bears have been actively opposing the markets. After a protracted period of consolidation, the short surge that followed has just run into trouble. Asset values are falling to historic lows.
As of this writing, Bitcoin (BTC) is trading at $23,105, down 4.34 percent over the last 24 hours. The asset’s decline comes after BTC was rejected from the $24k zone on August 8. Ethereum (ETH), which now trades at $1,690, has also lost 5.85 percent of its value during the previous 24 hours.
No asset from the Top 40 list has seen any gains during the previous 24 hours, while the rest of the market is down. Any depressing broadcast before of Wednesday’s deadline for the US CPI data announcement for July might worsen the markets.
