After a dazzling rally, the crypto market is falling like a rolling stone from one low to another. While the majority of crypto traders are making bearish calls on digital assets, some investors are not ready to give up hopes of earning on virtual coins. For instance, JPMorgan Chase sees BTC at $100,000 by the end of 2022.
After the bumpy yet lucrative 2021 year, the crypto market seems to get a run of bad luck. Instead of a Christmas rally, crypto assets collapsed considerably. They are still unable to recover to their previous levels. In November of last year, bitcoin surged to $69,000 per coin. However, it has already lost almost 40% since then. The crypto market was also weakened due to unrest in Kazakhstan, the world's second-largest center for bitcoin mining. The Kazakhstan government had to block internet access for citizens because of violent mass protests. Shutting down the Internet adversely affected crypto mining. Apart from that, the Fed hinted at the interest rate hike earlier than planned.
Nevertheless, JPMorgan Chase remains bullish on BTC despite headwinds in the crypto market. Despite doom and gloom, analysts at JPMorgan Chase expect bitcoin to skyrocket to $100,000 per coin. "Only 5% of clients polled by JPMorgan Chase & Co. said they see the digital coin reaching $100,000 before the end of 2022. More than 40%, though, saw it above $60,000, where it was roughly two months ago before it commenced its latest stretch of declines", Bloomberg noted.
"I’m not surprised by Bitcoin bearishness. Our Bitcoin-position indicator based on Bitcoin futures looks oversold. The coin’s fair value is between $35,000-$73,000, depending on what investors assume about its volatility ratio versus gold," Nikolaos Panigirtzoglou, author of the research note, said.