One of the largest investment banks in the world has prepared its Bitcoin (BTC), price predictions for 2022.
JPMorgan Chase recently asked its clients: “Where do we see Bitcoin trading at the 2022 year-end?” Only 5% of them said that they expected it to reach $100,000. 9%, however, saw it surpassing previous all-time highs and reaching more than $80,000.
The bank is well-known for its rich client base. Although some BTC investors may be pleased to hear that JPMorgan’s clients are expecting at least a twofold increase in their funds, it is not the fireworks that the crypto market is used to.
The survey is positive overall. 55 percent of clients see BTC trading at $60,000 and above by the end of the year. Only one quarter expects prices to fall from their recent lows at $40,000.
Nikolaos Panigirtzoglou (author of the research note and managing director for London at JPMorgan) said, “I’m certainly not surprised by Bitcoin bearishness.” He continued:
Our Bitcoin-position indicator, based on Bitcoin futures, looks oversold. The fair value of the coin is $35,000 to $73,000 depending on how investors view its volatility relative to gold.
This group has more than $2.6 trillion in assets under management and is becoming increasingly involved in crypto, especially since the launch of JPM Coin in 2019. It is one of the Big Four American investment banks and has been educating investors and customers about the pros and cons associated with Bitcoin since July 2021.
Related: Arcane Research publishes its 2022 crypto predictions
Although JPMorgan’s cards are still close to its chests, Jamie Dimon, CEO of JPMorgan, changed his mind on Bitcoin in September 2013. Although he acknowledged that Bitcoin could grow 10x over five years, he will not buy any.
This is in contrast to Bill Miller and Ray Dalio, billionaires who believe that any amount between 1% and 50% of BTC should be considered a reasonable allocation to one’s portfolio.
It is a time of increasing institutional adoption and calls to $200,000 from other funds, such as Fundstrat Global Advisors in 2022. This raises the question: Is JPMorgan Chase a client on the money or are Wall Street executivs (and other wealthy individuals) decidedly bearish?