While Bitcoin (BTC) continues its recovery in recent days, bad news came to investors from JP Morgan.
US banking giant JP Morgan said that the recovery in Bitcoin may be short-term and temporary.
According to CoinDesk, JP Morgan claimed in a recent report that the recovery in the Bitcoin and cryptocurrency markets will be temporary.
Analysts stated that any near-term recovery would be tactical in nature and would not be the start of a new long-term uptrend.
Analysts first of all stated that the price of Bitcoin is still very high compared to the production cost of $ 43,000 and gold, and that this is the basis of their predictions.
Given that Donald Trump is more crypto-friendly than Joe Biden, both Bitcoin and gold are expected to benefit from the higher odds of a Trump victory in the US presidential elections in December, according to analysts.
Analysts led by Nikolaos Panigirtzoglou wrote:
“Some investors think a second Trump presidency would be friendlier towards cryptocurrency companies and crypto regulations, unlike the current Biden administration.”
There are also claims that Donald Trump may announce Bitcoin as a reserve asset at the Bitcoin conference to be held in Nashville this weekend. At this point, 10x Research founder Markus Thielen and analysts predict that there may be a parabolic rise in Bitcoin price this week.
*This is not investment advice.