Experts estimate that the cryptocurrency is heading for the "milestone" of being six times more volatile than gold, with a value of around $ 23,000.
A possible early sale of shares in the investment fund Grayscale Bitcoin Trust (GBTC) would be a further obstacle for bitcoin, the world's leading cryptocurrency, which would become six times more volatile than gold, JPMorgan analysts warn .
As the stock market gradually recovers positions, the cryptocurrency market has already lost a trillion dollars in market capitalization compared to its peak of 2.5 trillion recorded in May, recalls a group of researchers at investment bank JPMorgan.
The decisive challenge in the closest future facing the cryptocurrency will be the unlocking of GBTC shares, at the same time that negative trends are observed in said bitcoin fund, considered the largest in the world.
"As the 6-month freeze period expires in June and July , these investors are likely to sell at least a portion of their GBTC shares, putting downward pressure on GBTC prices and the bitcoin markets. in general ", anticipate the experts.
This, in turn, makes institutional investors more cautious when adopting cryptocurrency markets, as they are less attractive.
After analyzing the volatility of bitcoin compared to gold, the experts calculated the theoretical indicative price - about $ 140,000 - of the cryptocurrency, although they say that the forecasts are not favorable.
While Michael Novogratz, CEO of Galaxy Investment Partners, affirms that "bitcoin is a better version of gold", experts estimate that the cryptocurrency is heading for the "milestone" of being 6 times more volatile than traditional gold , placing its value in the medium term by one sixth of $ 140,000 ($ 23,000).
"The best we can hope for in the medium term is that this volatility coefficient partially recovers, going from about 6 times today to about 4 times by the end of the year," say analysts at JPMorgan. In this sense, they specify that if "digital gold" becomes 4 times more volatile than traditional gold, the value of bitcoin would be around $ 35,000.
Irrelevant Investor's Michael Batnick believes that it is not a coincidence that in 2020 people were selling stocks, bonds, gold and cryptocurrencies at the same time, although you cannot speak of a strict correlation. "Sometimes bitcoin moves with the stock market, and sometimes it doesn't," he says.
