The American financial multinational JP Morgan has maintained a bullish stance on the bitcoin Price Outlook Despite recent downward trends, the bank has announced the schedule for the completion of the btc liquidations underwayforecasting a subsequent rally in the market.
JP Morgan predicts bitcoin market rally in August
In a research report on Wednesday, JP Morgan suggested that btc liquidations should slow in July, anticipating the start of a bitcoin-3-metrics-solid-healthy-bull-market/” rel=”nofollow”>strong bull market as sell-offs ease. While the bank believes that a slowdown in the Market recovery is imminentHe is also skeptical about the sustainability of bitcoin's high inflows in its annualized flow into crypto assets.
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First, JP Morgan has revised and drastically reduced its year-to-date net cryptocurrency flow from $12 billion to $8 billion. So far this year, bitcoin-etf-inflows-reach-2-month-high-heres-how-much-they-bought/” rel=”nofollow”>bitcoin Spot ETF have been the main driver of substantial inflows into the cryptocurrency market.
JP Morgan's skepticism is also due to the high price of bitcoin relative to its cost of production and the gold priceA cryptocurrency analyst at the bank, Nikolaos Panigirtzoglou, suggested that the reduction in the bank's estimated net flow for the year to date was also due to the recent bitcoin reserves are declining through exchanges.
He x.com/thecryptoprofes/status/1811673442703294699?s=46″ rel=”nofollow”>decline The increase in bitcoin reserves over the past month is believed to be a result of ongoing selling pressures and widespread btc liquidations executed by btc-and-bch-amount-but-investors-worry/” rel=”nofollow”>Mt Gox Creditors and the German government. As mentioned above, JP Morgan has predicted that this btc sell-off will officially end in July, leading to a major Bullish rally for bitcoin in August.
Following the bank's predictions, many cryptocurrency analysts and community members have… x.com/thinkingbitmex/status/1812738505937756375?s=46″ rel=”nofollow”>He suggested that the recent rise in bitcoin price is a continuation of a strong bull market.
A cryptocurrency analyst identified as 'CryptoYoddha' on x (formerly twitter) has x.com/cryptoyoddha/status/1811431456532824122?s=12″ rel=”nofollow”>revealed that the German government was preparing to sell its remaining btc just before the bullish rally. Despite the bitcoin-selling-spree-continues/” rel=”nofollow”>Aggressive selling by the German government and the subsequent market turmoil, the analyst noted that bitcoin still looks bullish.
About ongoing btc liquidations
In early June, Mt Gox announced that it would be making payments to creditors in July. While the defunct bitcoin exchange's decision to begin its payment process is good news for creditors, there is also a underlying malaise on possible massive sales of bitcoin.
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With creditors gradually receiving part of Mt Gox pays out 142,000 btc With a value of around $9 billion, market fears are somewhat justified as a widespread bitcoin crash would have a huge impact. Impact on cryptocurrency priceIn addition to Mt Gox's major bitcoin redistribution plans, the German government has also been seen bitcoin/tether/142000/” rel=”nofollow”>sale Nearly 100% of their bitcoin holdings were confiscated from criminals.
These Substantial cryptocurrency liquidations have put a major brake on the price of bitcoin, causing severe price drops which have significantly delayed the expected bitcoin bull run. A cryptocurrency analyst identified as 'Rekt Capital' has x.com/rektcapital/status/1812278325005726045?s=46″ rel=”nofollow”>indicated that the bitcoin bull market based on standard halving cycles is already up 40.1%.
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