JPMorgan CEO Jamie Dimon has recently addressed the issue around digital currencies and their future. But while giving constructive feedback, he had harsh words for Bitcoin. His criticisms have triggered opposing expectations about BTC prices, which continue to dip.
JPM Morgan CEO Jamie Dimon’s Discussion on Bitcoin and Digital Assets
Jamie Dimon of JPMorgan isn’t shy in casting aspersions on the integrity of Bitcoin, calling out its essence as fictitious and deeming it valueless. According to him, the only purpose of Bitcoin is to conduct illegal transactions such as funding sex trafficking, laundering money, and receiving ransom. In fact, he went as far as to claiming that the Bitcoin economy is built on fraudulent Ponzi schemes.
Dimon draws a parallel between Bitcoin and smoking, stating that every person has the right to partake in it, whether dire consequences linger or not. On the other hand, he strongly asserts that digital currencies are here to replace Bitcoin for good reason.
Effect on BTC Price
Because of Dimon’s atrocious statement, Bitcoin did suffer a slight blow which had repercussions on its value. Within 24 hours, the value went down by 0.58 percent and is now priced at $93,744.56.
Over the past firm week and a month, the price dropped by 5.58 and 7.92 percent respectively. Nevertheless, it seems that the 24-hour trading volume has increased by 71.15 percent and open interest has advanced by 1.31 percent per Coinglass data.
Technical indicators indicate Bitcoin hasn’t fully capitalized over the rumors and there is still time before there are major consequences.
We are now looking toward a spike and CoinCodex has predicted the next 30 days to exhibit volatility allowing Bitcoin to hit $120,667 which makes for a 26.71% rise with 3.65 percent volatility remaining and there being an FGI of 62 points.
Demand for BTC
Bitcoin remains among the most sought after by traders in cryptocurrency. According to a crypto investment analyst at CryptoQuant, while the currency may lose value considerably in the short term, it would still be a worthy purchase in the long run.
Analyst MAC.D pointed out that the market rebounds in response to the dips which means there are indeed opportunities for short sell profit before long term traders buy in and leverage the market.
The waiting period before Donald Trump’s next US Presidency inauguration seems to have presented yet another opportunistic “buy the dip” scenario. He and his affiliated politicians are perceived to be friendly to the crypto community due to Paul Atkins being appointed as the next SEC Chair.
