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In a recent JPMorgan analysis, bitcoin has outperformed gold in terms of investor portfolio allocation when adjusted for volatility.
Nikolaos Panigirtzoglou, CEO of JPMorgan, bitcoin-has-already-surpassed-gold-in-investor-portfolio-allocation–jpmorgan-432SI-3339912#:~:text=JPMorgan%20analysts%20said%20that%2C%20when,allocation%20compared%20to%20the%20bullion” data-type=”link” data-id=”https://www.investing.com/news/cryptocurrency-news/bitcoin-has-already-surpassed-gold-in-investor-portfolio-allocation–jpmorgan-432SI-3339912#:~:text=JPMorgan%20analysts%20said%20that%2C%20when,allocation%20compared%20to%20the%20bullion” target=”_blank” rel=”noopener”>fixed that bitcoin (btc) allocation is 3.7 times that of gold, attributing this change to significant capital inflows into spot bitcoin ETFs. Since the approval of these ETFs in January, more than $10 billion have been invested and the potential market size is expected to reach $62 billion.
JPM Values bitcoin-etfs-could-see-174838004.html#:~:text=Spot%20bitcoin%20ETFs%20could%20see%20%24220B%20of%20inflows%20over,next%20two%20to%20three%20years.” data-type=”link” data-id=”https://finance.yahoo.com/news/spot-bitcoin-etfs-could-see-174838004.html#:~:text=Spot%20bitcoin%20ETFs%20could%20see%20%24220B%20of%20inflows%20over,next%20two%20to%20three%20years.” target=”_blank” rel=”noopener”>predict that the bitcoin ETF spot market could expand to $220 billion in the next two to three years, which could affect the price of bitcoin.
This influx has already been beneficial, as evidenced by the 45% increase in bitcoin's market capitalization in February alone. Net sales of spot bitcoin ETFs reached $6.1 billion in February, a significant jump from $1.5 billion in January.
March 12 saw record inflows, with more than $1 billion invested in a single day. Analysts expect these numbers to continue growing, especially with upcoming events like the bitcoin halving, which will cut the daily supply of bitcoin in half, which could lead to a supply crisis within six months, according to Ki Young Ju, CEO of CryptoQuant.
bitcoin's resurgence comes after a nearly three-year crypto winter, with one-time bitcoin ETF approvals serving as a pivotal moment for the crypto price. The cryptocurrency surpassed its previous all-time high of over $69,000 and fueled institutional adoption led by BlackRock.
