JP Morgan bank compares Bitcoin to gold as an alternative investment opportunity

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JP Morgan bank compares Bitcoin to gold as an alternative investment opportunity

Some may recall, in 2017, US bank JP Morgan Chase CEO Jamie Dimon called the Bitcoin cryptocurrency a “fraud,” as this Reuters news recalls.

Times have changed a lot, and today the US bank is praising Bitcoin BTC in a report from JPMorgan’s Global Markets Strategy division that discusses three bullish reasons for Bitcoin’s long-term potential.

A report which indicates that Bitcoin therefore competes with gold as an alternative investment.

“The long-term upside potential for Bitcoin is considerable as millennials would over time become a larger component of the investor universe.

A modest crowding out of gold as a long-term alternative currency would imply a doubling or tripling of the price of Bitcoin.” JP Morgan says in its note to investors.

JP Morgan analysts therefore see Bitcoin as an investment asset which now displays solid credibility and which is therefore recommended to its clients!

“Cryptocurrencies derive value not only because they serve as a store of wealth, but also because of their utility as a means of payment.

The more economic agents accept cryptocurrencies as a means of payment in the future, the greater their utility and value.” the bank adds in her report.

While Bitcoin’s share is still small in terms of financial flows around the world, the largest US bank in terms of assets can no longer ignore the growing role BTC is currently occupying.

Accumulate bitcoin btc

The fact that PayPal integrates Bitcoin or that publicly traded companies like Square or MicroStategy invest hundreds of millions of dollars in BTC clearly indicates that Bitcoin has become a significant alternative investment asset compared to gold in particular.

Without the storage constraints and enjoying the ease of transfer that gold does not have, Bitcoin may one day simply dethrone gold as a benchmark investment asset.

A Bitcoin price currently around 13,100 dollars.

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