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Bitcoin price rally could be under threat I’m continuing to trade $100,000. According to analysts at JPMorgan, institutional interest in the crypto industry has declined significantly. Bitcoin and Ethereum Futures contract.
Institutional demand declines, futures markets show weakness
Institutional investors have been a major introductory book to Bitcoin price rallies over the past year, and have influenced Bitcoin’s breaks of over $100,000. However, since surpassing this level, Bitcoin prices have not been pushed further. This is a sign of a slowdown in facility investment.
Related readings
this Slowing institutional investment A recent note to clients was confirmed by JPMorgan analysts. One of the most pressing revelation from JPMorgan’s analysis is the apparent decline in the Bitcoin and Ethereum futures markets on the Chicago Mercantile Exchange (CME). Bank research highlights an upward trend in setbacks, a scenario in which spot prices exceed futures prices.
Typically, healthy markets are looking at futures contracts that are priced higher than spot prices as future growth is expected. However, the current inversion suggests that institutional players are hesitant, perhaps due to a lack of immediate bullish catalysts.
“This is a negative development and indicates weak demand,” JP Morgan analyst Nikolaos Panigiltzoglow wrote in a note to his client. “Down in demand from systematic and momentum-driven funds such as CTAs also affected Bitcoin and ether futures,” he added.
Speaking of bullish catalysts, there has been a major slowdown in the sense of happiness surrounding the development of code-positive tests from the new Trump administration in the US. It is unlikely that the crypto industry’s support policies or regulatory reforms will be implemented until the second half of 2025. As such, Bitcoin and other markets are now stuck in Limbo without continuing bullish catalysts and ongoing profits.
Market manipulation claim
Beyond changing institutional sentiment, suspicions of artificial market suppression have gained traction within the crypto community. Industry leaders including Jan3 CEO Samson Mow. I expressed my concern It appears that Bitcoin is being “manufactured” to gain upward momentum beyond $100,000.
He said that even retail buyers are selling dollar costs and purchases, some large market participants are selling. These allegations are not new, as Bitcoin history is separated by a period of suspected price manipulation By a whale. The recent influx of more institutional investors makes this price manipulation more possible than in previous cycles.
Related readings
At the time of writing, Bitcoin has dropped by 2% to $96,180 over the past 24 hours. Given current trends, Bitcoin could continue to consolidate around $100,000 in the short term, until at least the second half of 2025. Long-term price target From analysts in the Bitcoin range starting at $150,000 $2 million.
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