Despite the massive bull market in 2020 and 2021, institutions have remained on the cryptocurrency side and feel comfortable about it.
That’s what a senior investment analyst at JPMorgan recently argued, noting that interest in the asset class from these investors is “virtually non-existent.”
- The most famous bull in the cryptocurrency market started in late 2020 and lasted about a year, when prices exploded to new highs. Bitcoin went from under $10,000 to $69,000 in that time frame, becoming a trillion-dollar asset in that time.
- There have been several reports of this cycle of large individual investors, as well as institutions, jumping on the bandwagon, including MassMutual, One River, and others.
- However, JPM’s chief investment analyst – Jared Gross – believes that interest has either disappeared or never existed.
- He blamed this on increased volatility and argued that most institutions are relieved to have missed out on last year’s rally because of all that happened in 2022 and the massive price drop.
“As an asset class, crypto is virtually non-existent for most large institutional investors. Volatility is extremely high, and the lack of a return you can point to makes it very difficult. Most institutional investors are probably breathing a sigh of relief that they haven’t jumped into this market and probably won’t jump in anytime soon.” . – he said during a podcast with Bloomberg.
- It should be noted that JPM has always had a contentious relationship with the crypto industry. In fact, it appears to be using bull markets to boost the market, as was the case after the MassMutual purchase, and the bear is hopping around to predict darker developments.
Senior Strategist at JPMorgan Says First Featured on CryptoPotato Institutions That Haven’t Been Interested in Cryptocurrency Then.