The premier cryptocurrency, Bitcoin (BTC) may tumble further if the price does not recover above the psychological mark of $40,000. This is the opinion of strategists at JPMorgan Chase & Co, Bloomberg reports.
One of the bank’s chief strategists, Nikolaos Panigirtzoglu pointed to the potential pressure of
Data: Bloomberg
“The pattern of demand for Bitcoin futures and the Grayscale Bitcoin Trust, the largest traded crypto fund, will provide clues about the outlook. The flow into the Grayscale Bitcoin Trust would likely need to sustain its $100 million per day pace over the coming days and weeks for such a breakout to occur,” — the strategists said in the report.
In their conclusions, Panigirtzoglu and other analysts relied on the price pattern of the leading cryptocurrency at the end of November, when the level of $20,000 was such a benchmark for the bulls. The inflow of funds into the Grayscale Investments bitcoin trust helped to rally above that level.
At round 20:35 GMT, Bitcoin is trading at around $36,350 on Bitstamp, up 0.18% in the last 24 hours.
Notably, on January 16, the CEO of Grayscale Investments, Michael Sonnenshine, announced a record daily inflow of funds into the company’s products in the amount of $700 million.
Yesterday, @Grayscale raised north of $700 million into its family of products…momentum from Q4 seems to picking up speed into the new year.
If you haven't checked out our 4Q20 report yet: https://t.co/SwqBKwvO1S
— Michael Sonnenshein (@Sonnenshein) January 16, 2021
“It looks like
According to the quarterly report of Grayscale Investments, the increase in GBTC in
Meanwhile, Grayscale Investments is currently managing over 570,000 bitcoins, according to Bitcoin Treasuries. In total, institutional investors have bought more than 1 million bitcoins, which are currently worth about $40 billion.
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