JP Morgan Analyst Predicts Renewed Wall Street Interest for Bitcoin
Although Bitcoin has been currently undergoing through its longest bearish phase, analysts are not shying away from making bold predictions about its future. Nikolaos Panigirtzoglou, Global Market Strategist at JP Morgan recently told CNBC that Bitcoin could likely see a renewed interest from Wall Street investors.
The analysts recent views ruled out the notion the institutional investors are losing interest in Bitcoins. Panigirtzoglou notes that as the stability of the cryptocurrency grows along with the development of its scalability solution, there shall be a renewed interest from big giants.
“The stability that we are seeing right now in the cryptocurrency market is setting the stage for more participation by institutional investors in the future,” said Panigirtzoglou, “The cryptocurrency market was a new market. It went through a bubble phase [and] the burst.”
He also adds that the regulators are proving to be big obstacle in the path of crypto market growth. He notes that the regulators are a “bit slow to realize” the true potential of cryptocurrency and blockchain technology.
Over the last year’s heavy bearish trend, analysts are hoping for institutional players to make quick entry to bring capital inflow in this ailing crypto market for a better recovery ahead. However, the regulatory uncertainty has been acting as a dark cloud.
But it’s not just about regulators being the hurdle. Over the last year, a number of crypto exchange have been victim to online hacks and threats losing millions of dollars of investors’ funds. Furthermore, the cryptocurrency market is largely plagued with other illicit activities of money laundering and terror financing.
Needless to say there have also been several cases of market manipulation trapping gullible investors in fraudulent schemes. In November 2018, SEC Chairman Jay Clayton said that he won’t be approving institutional products like crypto ETFs unless exchanges deal with solving issues relating to market manipulation.
Clayton also noted that exchanges lack sophisticated tools and infrastructure to over these issues.