(Cointelegraph) JPMorgan strategists believe the recent rally in Bitcoin price is driven by investor concerns over inflation.
JPMorgan says the ProShares Bitcoin Strategy exchange-traded fund is unlikely to trigger the next phase of capital inflows in Bitcoin despite witnessing the highest volume for an ETF on the first day of trading.
The strategists opine that gold has failed as an inflation hedge in the wake of rising cost pressures, with Bitcoin benefiting from an influx of investors, which fueled the bull run.
The US banking giant says a shift from gold ETFs into Bitcoin funds has been happening since September and expects the world’s largest crypto to maintain a surge up to the end of 2021.
Billionaire investor Carl Icahn also carries a similar sentiment and has praised Bitcoin as a store of value in the looming market crisis.
BTCUSD is down -1.58%.
