JPMorgan Sees ‘Significant Upside’ For Bitcoin – Replaces Real Estate With Crypto As ‘Preferred Alternative Asset’ CryptoGlobe
JPMorgan sees “significant rise” in bitcoin price. The global investment bank’s price target for the cryptocurrency is 28% above its current price. JPMorgan has also replaced real estate with cryptocurrencies as its “preferred alternative asset class along with hedge funds.”
JPMorgan’s Bitcoin Price Target Is 28% Above Current Price
Global investment bank JPMorgan issued a bullish note on bitcoin and the cryptocurrency on Wednesday. The bank’s strategists, including Nikolaos Panigirtzoglou, wrote that their price target for bitcoin remains at $38,000, “implying significant upside for digital assets here.”
As of this writing, bitcoin is trading at $29,784, down 2.4% in the past seven days and down almost 25% in the past 30 days. JPMorgan’s fair value estimate for bitcoin is nearly 28% higher than the current price of BTC.
JPMorgan strategists detailed:
Last month’s crypto market correction looks more like a capitulation from last January/February and looking forward, we see an upside for the bitcoin and crypto markets more generally.
While the investment bank’s price target for bitcoin is $38,000, its strategists said their long-term theoretical target price for the cryptocurrency is $150,000.
Crypto Becomes JPMorgan’s Favorite Alternative Asset Class, Replacing Real Estate
Additionally, the global investment bank now sees cryptocurrencies as its “preferred alternative asset class”, replacing real estate amid soaring mortgage rates.
JPMorgan clarified that the recent market downturn has hurt cryptocurrencies more than other alternative investments, including real estate.
Noting that this trend suggests the crypto has more room to bounce back, the strategists wrote:
We are thus replacing real estate with digital assets as the preferred alternative asset class with hedge funds.
JPMorgan’s rating follows a sell-off in the crypto market amid the implosion of cryptocurrency terra (LUNA) and stablecoin algorithm terrausd (UST).
The strategists noted that while the dramatic collapse of the two cryptocurrencies has weakened the sentiment of many crypto investors, there have been few signs so far that venture capital funding in the crypto sector is slowing down.
Coincidentally, major venture capital firm Andreessen Horowitz (a16z) announced the launch of its new $4.5 billion crypto fund on Wednesday.
What do you think of JPMorgan’s bitcoin price prediction and the bank replacing real estate with crypto as the preferred alternative asset class? Let us know in the comments section below.
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