JPMorgan Places BTC Fair Price At $38K, Declares Crypto A Preferred Alternative Asset

JPMorgan has set the fair price of Bitcoin (BTC) at $38,000, which is 28% higher than its current level of roughly $29,500. According to the letter provided to customers on Wednesday.

“The past month’s crypto market correction looks more like capitulation relative to last January/February and going forward we see upside for Bitcoin and crypto markets more generally,” the note said. Bank strategist Nikolaos Panigirtzoglou was the lead author of that document. 

iexclusivenews reports that in February, a bank investors’ report put Bitcoin’s fair value at the same amount. At the time, it was worth roughly $43,000. 

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According to the report, the bank’s favorite “alternative asset,” along with hedge funds, has exceeded real estate. It said: 

“Thus far, there is little evidence of VC [venture capital] funding drying up post-Terra’s collapse. Of the $25 billion VC funding year-to-date, almost $4 billion came after Terra. Our best guess is the VC funding will continue and a long winter similar to 2018/2019 would be averted.” 

VC funding would be critical to avoiding that crypto winter, it added. 

On the same day, Andreessen Horowitz, a leading venture capital firm, announced the $4.5 billion closure of its fourth cryptocurrency fund.  

On Wednesday, crypto-focused venture company NGC Ventures received $100 million from investors including Babel Finance, Huobi Ventures, and Nexo Ventures to create its third blockchain fund.  

JPMorgan CEO Jamie Dimon has stated his personal distaste for Bitcoin, even going so far as to label it a scam, but the bank has adopted a more pragmatic approach. It became the Metaverse’s first big bank early this year. Dimon has commended Crypto’s cross-border payment capability.