Bitcoin Skyrockets Thanks to Big Players: The JPM Coin Phenomenon!
Institutional Influence Pushes Bitcoin to New Heights
Benefiting from the positive news about Bitcoin spot ETF, Bitcoin shot up to $35,000 this week, marking its highest point since May of the previous year. A recent report from Wall Street behemoth, JPMorgan, sheds light on this surge.
JPMorgan’s Revelation: Big Players are Driving the Surge
Unlike previous trends, JPMorgan, in its research dated 10/25, highlighted that institutional investors primarily fuel the recent Bitcoin rally. Nikolaos Panigirtzoglou’s analyst team noted, “It seems the latest price movement has institutional involvement.”
Massive Bitcoin Influx into Large Institutional Wallets
JPMorgan’s deep dive into the cryptocurrency futures market confirms their claims. The volume of Bitcoin futures on CME (Chicago Mercantile Exchange) soared, hitting a peak not seen since before the collapse of the cryptocurrency exchange FTX. This trend, according to JPMorgan, is often a result of significant institutional participation. Contrarily, Ethereum’s position on CME appears sluggish.
Differing from trends observed in previous quarters, where Bitcoin primarily moved amongst smaller wallets, suggesting retail-driven movements, the recent shift witnessed substantial inflows to larger wallets.
JPM Coin’s Massive Daily Transactions: A Peek into the Future?
In another revelation, as reported by Bloomberg, Takis Georgakopoulos, head of JPMorgan’s global payments, mentioned the daily processing of a whopping $1 billion through their digital coin — JPM Coin, designed for wholesale clients. Although this sum is a fraction of the $10 trillion processed daily through their conventional platforms, it signifies the tremendous momentum JPM Coin has achieved in recent months.
Reiterating the coin’s potential, Georgakopoulos highlighted that while the daily transactions are predominantly in USD, the scope of JPM Coin would continue to expand. While its retail version isn’t out yet, focusing currently on wholesale or corporate clients, JPMorgan aims to extend it to individual consumers.
Keywords: Bitcoin, JPMorgan, JPM Coin, institutional investors, CME, Bitcoin futures, Ethereum, cryptocurrency exchange, global payments, digital coin
