JPMorgan Ups Long Term Bitcoin Target to $150,000

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  • JPMorgan strategists have increased their long-term price prediction for Bitcoin to $150,000
  • In 2021 the team stated that $146,000 was a viable long-term target
  • They also said that Bitcoin’s “fair price” is $38,000

JPMorgan strategists have increased their long-term target for Bitcoin to $150,000 while putting its fair value at $38,000. The team, led by Nikolaos Panigirtzoglou, upped their price prediction to fit with their existing theory that gold and Bitcoin are en route for convergence at some point in the future, although they added the Bitcoin’s famous volatility was still preventing institutional adoption.

$150,000 Bitcoin No Longer a Fantasy

Panigirtzoglou and his JPMorgan strategists made their $146,000 prediction in January last year, noting at the time that a valuation of $150,000 would result in a “convergence in volatilities between Bitcoin and gold”. At the time Bitcoin had yet to cross $40,000, but having hit $70,000 since then the prospect of $150,000 is well within the realms of reality.

A year later, Bloomberg reports that this $150,000 level is now their anticipated long-term target, with the Bitcoin-gold link becoming more established.

The strategists also calculated the fair-value level of Bitcoin to be at around $38,000 based on Bitcoin being roughly four times as volatile as gold, with this ongoing volatility presenting Bitcoin’s “biggest challenge” to further institutional adoption.

Price Drop is Temporary Says JPMorgan

Panigirtzoglou’s gang also noted that the correction Bitcoin has recently reversed is more in line with a typical bull market pullback than a sign of an imminent bear market, which fits in with the ethos that 2022 will be another example of longer cycles.

The JPMorgan report comes hot on the heels of Wells Fargo saying that cryptocurrencies are on the verge of a “hyper-adoption phase” and that institutions are still sitting on the sidelines for now.