After slumping from around $40,000 to around $30,000, (after cresting at $60,000), Bitcoin has inched up to rest around $34,000 at press time.
Meanwhile J.P. Morgan is talking about long-term outlooks for Bitcoin, saying that the company still sees “an overhang of underwater positions” and noting some obstacles for Bitcoin’s reemergence.
Long-term, JPM analysts say, Bitcoin and other crypto coins are in the midst of a healing process that will eventually help these blockchains to evolve positively. However, they say, BTC is “not healthy yet.” Some of the concern may be tied to value loss around questions over BTC’s energy-intensive mining model. North American Bitcoin miners have vowed to decrease the consumption required to mine. Meanwhile, the Chinese government has cracked down on its own miners citing 2060 carbon-neutral goals.
“A bounce off $30,000, which is seen as a critical support level, came after the JPMorgan note,” writes Erhan Kahraman at Cointelegraph of BTC activity. “Bitcoin’s price dove to $30,070 before quickly recovering to $33,445 over the weekend, according to data from Cointelegraph Markets Pro and TradingView. The weekend saw a positive statement for the biggest cryptocurrency from Ricardo Salinas Pliego, Mexico’s third-richest man, who named Bitcoin the new gold. The price climbed above $35,000 as of Monday morning.”
Meanwhile, there is news on JP Morgan’s own JPM Coin stablecoin that was created as a centralized cryptocurrency, where Bitcoin, as a product of the anonymous Satoshi, is fully decentralized.
Ledger Insights reports that Goldman Sachs has traded digital treasury bonds for JPM Coin on JP Morgan’s Onyx blockchain system.
“We see this as a pivotal moment for the digitization of transactional activity,” Mathew McDermott, Goldman Sachs’s head of digital assets, said in a press statement.
“A report from Bloomberg revealed that the repo trade was conducted on June 17, and the transaction was completed after three hours and five minutes. However, the value of the transaction remains unknown,” writes Samyuktha Sriram at Benzinga.
What will this do for this corner of the crypto world? Stay tuned.