The Bitcoin price rally can be threatened because it continue to negotiate under $ 100,000. According to JPMorgan analysts, there has been a significant drop in institutional interest in the cryptography industry, in particular through Bitcoin And Ethereum term contracts.
Decreases in institutional demand, the term market signals the weakness
Institutional investors have been a major introduction for Bitcoin prices rallies in the past year and had an influence on Bitcoin rupture over the $ 100,000 mark. However, since the rupture above this level, the price of Bitcoin has failed to push, which is a sign of a slowdown in institutional investments.
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This slowdown in institutional investments was confirmed by JPMorgan analysts in a recent note to customers. One of the most urgent revelations of JPMorgan’s analysis is the apparent drop in Bitcoin and Ethereum’s term markets on Mercantile Exchange (CME). The bank’s search highlights a growing backwarding trend, a scenario in which cash prices exceed the long -term prices.
As a rule, a healthy market sees term contracts on the price of the price in cash due to expectation of future growth. However, the current inversion suggests that institutional actors remain hesitant, probably due to a lack of immediate bull catalysts.
“This is a negative and indicative development of the weakness of demand,” wrote JPMorgan analyst Nikolaos Panigirtzoglou in a note to customers. “The inferior demand for systematic and momentum funds, such as CTAs, also affected future Bitcoin and Ether,” he added.
Speaking of bullish catalysts, there was a major slowdown in the euphoria surrounding the crypto-positive developments of the new Trump administration in the United States. All support policies or regulatory reforms for cryptographic industry do not take into force until the second half of 2025. As such, bitcoin and the rest of the market are currently stuck in limbo without catalysts and continuous profits.
Market manipulation allegations
Beyond the changes of institutional feeling, suspicions of abolition of the artificial market have gained ground within the cryptographic community. Industry leaders, including Samson Mow, CEO of January 3, expressed concerns The inability of this Bitcoin to gain momentum above the increase above $ 100,000 seems “made”.
According to him, some major market players sell even if retail buyers are on average and buying on average. These allegations are not new, because the history of Bitcoin has been punctuated by periods of alleged price manipulation by whales. The recent influx of more institutional investors even makes this price manipulation as possible than in previous cycles.
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At the time of writing this document, Bitcoin is negotiated at $ 96,180, down 2% in the last 24 hours. Given the current trend, Bitcoin could continue to consolidate around $ 100,000 in the short term, at least until the second half of 2025. However, long -term price objectives Bitcoin analysts vary between $ 150,000 $ 2 million.
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