JPMorgan Predicts ‘Limited Downside’ for Crypto Markets Near-Term

According to the JPMorgan experts, there’s a noteworthy trend accompanying the unwinding of long Bitcoin futures positions – computing as a reliable proxy. It seems that this progression is coming close to being over, which aligns with the possibility of limited downside in the near future. Behind this shift in sentiment is the recent shift of positions triggered by early moves of the upcoming bitcoin halving event coupled with other developments like the XRP ruling, PayPal’sUsage of Stablecoin, and decisions on the possible approval or deferral of spot Bitcoin ETF’s by the US SEC – all serving as homage in the realization of positive trader sentiment.

This adjustment then converged with the recalibration that was occurring in risk assets such as equities, tech stocks, U.S. Real yields, and various apprehensions about China’s economic future. Additionally, the drops seen in the crypto markets happened in tandem with the disclosure of Space X’s liquidation of Bitcoin over the past year.