JP Morgan reveals its price projection for bitcoin after the halving

JP Morgan, the largest US bank, has a clear perspective on how the price of bitcoin (BTC) will continue after the halving scheduled for this Saturday.

“We see a disadvantage for the price of bitcoin after the halving for several reasons,” the bank's analysts, led by Nikolaos Panigirtzoglou, told the press.

Among the reasons, they distinguished that, according to an analysis of the open interest of bitcoin futures, the digital currency is in “overbought conditions.” This concept is used when a price has increased more than what the market considers justifiable, which is why selling pressure usually follows, driving its price downward.

JP Morgan analysts further reiterated that bitcoin's volatility is 3.7 times higher than that of gold. Therefore, they understand that, if investment portfolios made a volatility-adjusted allocation against the metal, the price of bitcoin would be $45,000 (USD).