Inflation protection narrative drove the price from Bitcoin to ATH
Inflation protection narrative drove the price from Bitcoin to ATH
strategist of the financial institution JPmorgan Chase & Co. argued that the reason for the all -time course of BTC was not the introduction of the Bitcoin Strategy ETF proshares. Instead, the digital asset made worried about increasing inflation an attractive investment option, which led to its latest rally.
gold failed, BTC prevailed through
The moment that many people have been waiting for in the cryptocurrency community finally came on October 19, when the futures-backed ETF from Proshares Bitcoin Strategy called Bito, Handel started on the New York Stock Exchange. So it became the first such product that was approved in the United States.
On the first day after his introduction it is created massive trade volumes and even became the second highest-traded fund of all time. Shortly afterwards, the USD value from BTC moved directly to the north towards a new All-time high at around $ 67,000.
According to JPMorgan strategists, including the managing director Nikolaos Panigirtzoglou, another factor has led to Bitcoin to this milestone. The specialists specified that the cryptocurrency had replaced gold as inflation protection in recent months, which had driven the price north:
"In itself, it is unlikely that the introduction of Bito will trigger a new phase with significantly more fresh capital in Bitcoin. Instead, we believe that the perception of Bitcoin as a better inflation protection is the main reason for the current upswing that has been relocating gold ETFs to Bitcoin fund since September."
The JPMorgan team found that the last few weeks have not been so successful for the precious metal. If you look at a broader period, Bitcoin ETFs have clearly overtaken the gold ETFs, as the strategists unveiled:
"This river shift remains intact and supports a bullish view for Bitcoin by the end of the year."
can BTC now change the attitude of the Big Boss?
Jamie Dimon - Chief Executive Officer from JPMorgan - is one of the most prominent critics of the leading digital asset. Nevertheless, it seems as if he had started to solve the firm grip.
Everything started in 2017 when top manager Bitcoin described as "fraud". Dimon did not stop here and warned: "It is worse than tulip onions. It will not end well. Someone is killed." Shortly afterwards, however, he regretted that he had made this comment and his financial institution accepted BTC much more.
Last year Dimon interfered again. This time he was in his comments, soft proverb that Bitcoin is not his "cup of tea" and that he has no personal interest in it.
a few days ago the CEO returned to its negative phase, Describing BTC as "worthless". Nevertheless, he admitted that most of the JPmorgan customers do not share his opinion and show an increasing demand for digital asset services.
Since BTC reaches a new all-time high, the crypto community still has to find out whether Dimon keeps his hostile perspective on this matter or rather become a little milder and will allow its Bitcoin-hungry customers more offers.
Selected image with the friendly approval of Thinkremote
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