Send PM
Followers 1537
Posts 118311
Boards Moderated 24
Alias Born 08/20/2006

Re: None

Tuesday, 01/05/2021 3:24:27 PM

Tuesday, January 05, 2021 3:24:27 PM

Post# of 37263
Bitcoin rivals gold, as JP Morgan predicts its price may climb as high as 146,000
By
Wolf Daily Staff
January 5, 2021

Digital currency bitcoin has emerged as a rival to gold and could trade as high as $146,000 if it becomes established as a safe-haven asset, investment bank JPMorgan (JPM) said on Tuesday.

Interest in the world’s biggest cryptocurrency has soared this year, with investors viewing bitcoin as a hedge against inflation and an alternative to the depreciating dollar. The rush led to bitcoin prices more than tripling in the past six months to a record peak of $34,800 on Jan. 2.

“Bitcoin’s competition with gold has already started in our mind,” the Wall Street bank’s strategists said in a note, citing recent $7 billion outflows from gold and more than $3 billion of inflows into the Grayscale Bitcoin Trust.

That could mark a new dawn for the volatile digital currency after years as a play for speculators and retail punters.

“Considering how big the financial investment into gold is, a crowding out of gold as an ‘alternative’ currency implies big upside for bitcoin over the long term,” JPM said.

Bitcoin is likely to outshine gold as millennials become a more important component of the investment market over time and given their preference for “digital gold” over traditional bullion, JPM added.

With a market capitalization of $575 billion, the bitcoin price would need a nearly fivefold jump to $146,000 to match the value of private gold wealth held in gold bars, coins or exchange-traded funds, the bank’s note added.

JPM strategists said the upside is conditional on the volatility of bitcoin converging with that of gold in the longer term.

Though JPM sees the possibility of “current speculative mania” propelling bitcoin to between $50,000 and $100,000, it warned that such levels would prove unsustainable until its volatility levels out.

“We note that the spectacular bitcoin rally of the past few weeks has moved bitcoin into more challenging territory, not only in terms of its positioning backdrop, but also in terms of its valuation,” the bank said.


Volume:
Day Range:
Bid:
Ask:
Last Trade Time:
Total Trades:
  • 1D
  • 1M
  • 2M
  • 3M
  • 6M
  • 1Y
  • 2Y
  • 3Y
  • 5Y
Recent BTCUSD News

FEATURED InnerScope Hearing Technologies (OTC: INND) Launches Its iHEAR Brand of OTC Hearing Aids on CVS.com Dec 1, 2022 8:00 AM

Healixa Inc. Appoints Former Acting Secretary of Defense of The United States Christopher C. Miller to Its Advisory Board EMOR Dec 1, 2022 9:20 AM

Kona Gold Beverage, Inc's Gold Leaf Distribution Subsidiary Posts Record Revenue Month in November KGKG Dec 1, 2022 9:00 AM

Mullen Automotive Officially Closes on Acquisition of ELMS Assets, Takes Possession of Plant in Mishawaka, Ind., All Intellectual Property and Related Inventory MULN Dec 1, 2022 8:31 AM

HealthLynked Announces Points Reward Program for Online Medical Supplies Purchases HLYK Dec 1, 2022 8:00 AM

Aduro Announces Completion of Mechanical Assembly of its R2 Plastic Reactor ACT Dec 1, 2022 7:59 AM

Fission 3.0 Intersects Off-Scale Mineralization in the First Follow Up Hole at PLN A1 Discovery FUU Nov 30, 2022 8:21 AM

Healixa Expands Advisory Board with Appointment of Accomplished C-Level Executive with History of Accelerating Profitable Growth EMOR Nov 29, 2022 9:26 AM

AgriFORCE Receives Patent Allowance from the United States Patent and Trademark Office Related to its Proprietary Process and Technologies for the UN(THINK) Foods Brand AGRI Nov 29, 2022 9:24 AM

Kona Gold Beverage, Inc Partners with Strategy & Execution Inc to Accelerate Beverage Growth in 2023 KGKG Nov 29, 2022 9:00 AM

Nextech AR CEO Evan Gappelberg Buys 250,000 Shares of Company Stock In Open Market Purchases NTAR Nov 29, 2022 7:15 AM

Goldshore Intersects Additional High-Grade Shears in the QES Zone at the Moss Lake Gold Project GSHR Nov 28, 2022 8:39 AM

EVCI CAREER COLLEGES HOLDING CORP. (EVCI) PROVIDES SHAREHOLDER UPDATE AND ANNOUNCES YEAR TO DATE RESULTS OF ZHEJIANG DASHANG MEDIA CO. EVCI Nov 28, 2022 8:30 AM

Branded Legacy, Inc. Signs Joint Venture To Add Additional $300,000 a Year In Revenue BLEG Nov 23, 2022 11:10 AM

Clearmind Announces Initiation of CMND-100 Manufacturing Program to Address its Upcoming Clinical Trial CMND Nov 23, 2022 9:50 AM