- Nikolaos Panigirtzoglou, an analyst at JPMorgan, has predicted that the value of Satoshi Nakamoto’s crypto asset could reach $ 73,000 next year and $ 146,000 in the long term.
- Inflation-related concerns have reignited investor interest in Bitcoin as a hedge against inflation.
The finance company JPMorgan recently released a preliminary report focused primarily on its prospects for alternative investments, including crypto assets. Of which a new report is expected to be released every two or three months.
Nikolaos Panigirtzoglou, analyst of the financial consortium, has predicted that the value of the crypto asset of Satoshi Nakamoto could reach $ 146 thousand dollars in the long term, having in a shorter term, the possibility of reaching $ 73 thousand dollars next year.
“Virtual currencies are on a multi-year path of structural progress, however, the current entry point, from our particular point of view, looks unattractive for a 12-month investment horizon, as Bitcoin could have returned to overbought territory“explained Panigirtzoglou.
The analyst indicated that the reappearance of uneasiness and Inflation-related concerns among investors during September / October this year apparently again kick-started the interest in using “so-called digital gold” as a hedge against inflation.
Bullish outlook
The analyst returned to his “bullish outlook” on Nakamoto’s crypto asset made last October, adding:
“The attractiveness of Bitcoin as a hedge of inflation has probably received further support due to the lack of response from gold in recent weeks, especially to the increased concerns about inflation “.
Regarding the dispute between Bitcoin and gold, Panigirtzoglou is pinning his hopes on the fact that it will continue, as more millennials begin to invest, because, unlike other sectors of the population, it is they who have shown a greater interest in digital assets.
“Considering the size of the financial investment in gold, any movement of this soft precious metal as an ‘alternative’ currency represents a great virtue for Bitcoin in the long term.”, Detailed the JP Morgan analyst.
Bitcoin volatility
However, Panigirtzoglou pointed out that for the forecast of the value of the crypto asset of $ 146 dollars to become a reality, the volatility of the virtual currency would have to present a significant drop, thus making investors feel safe and comfortable by adding the crypto currency to your wallets.
The analyst pointed out that the volatility of the crypto asset today is four to five times greater than that of gold. In the JP Morgan report, it is noted that today’s volatility is such a problem that the fair value of the cryptocurrency is actually roughly $ 35,000.
However, the financial institution indicated that the volatility of Nakamoto’s assets is in a sharp decline, so a value of $ 73 thousand dollars, sounds quite sensible as a price target for next year.
What’s more, Panigirtzoglou indicated that, as many of you already know, the so-called “digital gold” is quite unpredictable, so the presence of a growth above $ 146 thousand dollars is very feasible, as well as a decrease below $ 30 thousand dollars.
The JPMorgan analyst also pointed out that digital assets in general are a type of ascending assets, which means that they are in a structural uptrend of several years.
“LCrypto assets have emerged as a winner after the coronavirus health crisis, with retail investors finding themselves pooling them with institutional investors such as hedge funds, family offices, and real money asset managers, “ the analyst pointed out.
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