Crypto enthusiasts are thrilled, as JPMorgan revealed their long-term predictions for Bitcoin, claiming it might rise as high as $146,000 and above. Such a surge would bring the price of the digital asset up 130%.
The prognosis relies on the fact that digital assets are becoming ever more attractive, as millennials are dipping their toes into trading, preferring crypto to traditional assets. Bitcoin is therefore further solidifying its position as the digital gold.
The recent events have caused inflation to rise to a 13-year high. Bitcoin has greatly proved itself effective as an inflation hedge, while gold has been failing to meet the expectations lately.
The only remaining shortcoming of Bitcoin is its volatility, which is currently five times greater than that of gold. However, JPMorgan is confident that the rising popularity of digital assets among financial institutions might stabilize the prices over time.
They further add that crypto has emerged victorious after the pandemic and say “there is little doubt that cryptocurrencies and digital assets more broadly are an emerging asset class and thus on a multi-year structural uptrend.”
While we can never be sure, with Bitcoin rising 340% in the previous year, a 130% rise does seem plausible.