(BTC) Bitcoin News TodayCryptocurrencyExchanges & BrokersNewsTrading

Crypto Bear Market About To End – JPMorgan Strategist

According to an analyst at JPMorgan, the ongoing market decline might be ending soon. It noted that stronger cryptocurrency entities are entering the market and investing more capital.

JPMorgan Strategist Optimistic About The Future Crypto Market

On Wednesday, Nikolaos Panigirtzoglou, a strategist at JPMorgan, gave his prediction of the crypto market. He noted that more firms are moving to bail out struggling companies.

Also, reports recorded more venture capital funding in the last two months. These were the basis for his analysis

“According to the company’s Net Leverage metric, the deleveraging period is well advanced. Hence, we may see some bullish movements soon,” he added.

It is noteworthy that most crypto firms’ fall began in May. This was after the Terra ecosystem fell and wiped billions of dollars. Several crypto firms had to sell their assets or go under liquidation to repay debts. 

Cryptocurrency lending firms Celsius and BlockFi are perfect examples. The investment company, Three Arrows Capital, has been ordered to undergo liquidation.

However, the JPMorgan analyst argues that the bearish market might be rounding up soon. Several crypto firms have stepped in to save a struggling and insolvent companies. He stated that:

📰 Also read:  Analysts Say FTX Repayments Will Not be Super Bullish for Crypto: Here is Why

“Presently, big crypto firms with huge balance sheets are entering the market. They are bailing out struggling firms. This should help the market to recuperate.”

Venture Capital Firms Come To The Rescue

Furthermore, Panigirtzoglou also cited the latest funding of venture capital firms in the sector. As stated by JPMorgan, crypto firms received funding worth $5 billion from VCs in May and June.

Also, Dove Metrics, a fundraising tracker, estimated that crypto funding has increased to over $8.6 billion. This rate is higher than the rate in May and June last year by over $3.4 billion.

Besides, the latest crypto market prediction should put the mind of cryptocurrency investors at rest. Many of these investors have lost millions since the ongoing crypto winter.

According to Glassnode, this is the worst bearish market in the era of cryptocurrency trading. The highest crypto market capitalization occurred last year in November.

As of then, the total market cap for the crypto market was over $3 trillion. Unfortunately, CoinGecko stated that this has dropped to about $934 billion.

Fortunately, popular exchanges, FTX and Coinbase, continue to expand their operations to other regions. Coinbase was licensed to operate in Ireland, the United Kingdom, and Switzerland.

📰 Also read:  Gold and Bitcoin Both Win if Donald Trump Defeats Kamala Harris, Says JP Morgan

Additionally, rumors are circulating that FTX may buy the cryptocurrency lending platform, BlockFi for over $25 million. However, the CEO of BlockFi, Zac Prince, denied the rumors on his Twitter page.


Tokenhell produces content exposure for over 5,000 crypto companies and you can be one of them too! Contact at info@tokenhell.com if you have any questions. Cryptocurrencies are highly volatile, conduct your own research before making any investment decisions. Some of the posts on this website are guest posts or paid posts that are not written by Tokenhell authors (namely Crypto Cable , Sponsored Articles and Press Release content) and the views expressed in these types of posts do not reflect the views of this website. Tokenhell is not responsible for the content, accuracy, quality, advertising, products or any other content or banners (ad space) posted on the site. Read full terms and conditions / disclaimer.

📰 Also read:  Bitcoin Whale Activity Surges as ETFs Near 1M BTC – Big Moves Ahead?

Shelly Melancon (Switzerland)

Shelly is a cryptocurrency enthusiast from Switzerland, she bought her first crypto in 2015 when it was way less popular then it is today and since 2017 she has been writing about cryptocurrency for online news portals. Shelly is the newest addition to the Tokenhell team, she writes mostly news and reviews related articles , stay tuned to her posts to stay up to date with the crypto world.

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button
Close
Skip to content