In line with a recent news revealed by ‘Reuters’, the analysts at JP Morgan has revealed that the price of the major cryptocurrency Bitcoin [BTC] is expected to fall below $1,260 USD, whereas banks won’t be able to employ the blockchain technology for a min. of 3 to 5 years.
As per Reuters, analysts from the leading global investment bank suppose that the actual price of the cryptos is still not known, and they solely justify their sense in a hypothetic ‘dystopian’ event, whereby investors have lost their interest in the major standard assets like gold and the U.S. dollar. Explaining further, the analysts added:
“Even in extreme situations like a recession or monetary crises, there are additional liquid and less-complicated instruments for transacting, investing and hedging rather than cryptocurrencies.”
JP Morgan conjointly added that the institutional involvement within the crypto market has dropped over the past few months, with individual traders constituting the bulk of the market. In its crypto report, the corporate claimed that employing cryptocurrencies for payments is expected to stay “challenged,” adding that the firm was unable to search for any major retailers that accepted crypto’s in 2018.
JP Morgan’s analysts have additionally added that the price of Bitcoin [BTC] is probably expected to drop to around $2,400 USD and will even fall further to below $1,260 USD if the ‘ongoing bearish market‘ continues further. At the reporting time, the major cryptocurrency is trading at a price around ‘$3,585 USD‘, down by around 1.7% over the past week.
While JP Morgan predicted that “widely-hyped” blockchain technology won’t build any real distinction for banks at least 3 to 5 years, the investment bank still concluded that the DLT [distributed ledger technology] has potential to reduce the prices for world-wide banks and modify various advanced processes.
The chief executive officer ‘Jamie Dimon’ of JPMorgan is vocally crucial of cryptocurrencies, as well as Bitcoin, that he calls as a “fraud” in Sept. 2017. Whereas antecedently stating that he doesn’t “really care about Bitcoins [BTC], he admits blockchain’s potential, stating, “Blockchain is real, it’s technology, while Bitcoin isn’t something similar as a standard fiat currency.”