Bitcoin could make a comeback with Wall Street investors
JPMorgan analysts expect more interest in cryptocurrencies to come on Wall Street
Even though the cryptocurrency markets may be down a little right now, this most likely won’t last long. At least one market analyst sees a bright future for crypto and predicts that Wall Street investors could soon begin flocking to the space in a major way.
In an article by JPMorgan Global Market Strategist Nikolaos Panigirtzoglou that was published on CNBC yesterday, he stated that a resurgence of crypto investments could be coming soon to Wall Street. The analyst added, “The stability that we are seeing right now in the cryptocurrency market is setting the stage for more participation by institutional investors in the future. The cryptocurrency market was a new market. It went through a bubble phase [and] the burst.”
The renewed interest, says Panigirtzoglou, will come as the crypto markets show less volatility than they have in the past. Bitcoin (BTC), for example, has seen its volatility drop by 98% in the past 12 months.
The extended bear market has kept many investors away from the crypto space, but this could soon change. Institutional investors are slowly beginning to warm up to crypto and are still expected to be the catalyst to substantial price increases for all the top coins.
There are still a number of positive developments on the horizon this year that will spawn interest in crypto investments. Bakkt, the crypto trading platform built by NYSE’s parent company, ICE, is still expected to launch and Fidelity Investments has reconfirmed that it will launch its platform in the next couple of months. There is still an outside chance that the Securities and Exchange Commission (SEC) could approve a Bitcoin exchange-traded fund (ETF) this year, which could create a lot of action and cause values to skyrocket.