J.P. Morgan Bullish on Bitcoin: Long-term Expected to Rise to $146,000 if Volatility Falls Sharply
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JPMorgan Chase recently released a report that delves into digital assets. In the report, JPMorgan predicts that bitcoin could rise to $146,000 in the long run if bitcoin volatility wanes and institutions begin to prefer bitcoin to gold in their portfolios.
JPMorgan believes that bitcoin is competing with gold for investors' attention as a hedge against inflation. The bank also believes that bitcoin is also a scarce product, meaning that it will rise even as inflation erodes the value of other assets.
Nikolaos Panigirtzoglou, a strategist at JPMorgan, said, "There seems to be renewed interest in buying bitcoin as a hedge against inflation as investors' concerns about inflation resurfaced in September and October this year. In particular, gold has failed to respond to inflation expectations in recent weeks, which has strengthened the appeal of bitcoin as an inflation hedge."