Analysts at JPMorgan Chase caution against excessive optimism regarding the recent growth of bitcoin and other cryptocurrencies. In their assessment, current market trends represent only a temporary recovery, not the beginning of a sustainable bullish trend. According to experts, despite the recent gains, the cryptocurrency market may face a correction in the near future.

Bitcoin is currently trading at $66,814, which represents an increase of 12.9% over the past week according to TradingView. However, analysts at JPMorgan believe that such a price is overpriced compared to current market realities. The cost of bitcoin mining is currently around $43,000, which emphasizes the discrepancy between the market price and the cost of production.

JPMorgan analysts also highlight the difference between bitcoin's price and its volatility-adjusted comparison to gold. They point to the limited long-term growth potential of the first cryptocurrency. In March 2023, JPMorgan already noted that bitcoin will not be able to reach the level of gold assets in terms of volume in investment portfolios.

Nevertheless, the company's experts predict that the crypto market may return to an uptrend by August 2024. By this time, the influence of such factors as payments from the Mt. Gox exchange and the sale of bitcoins by the German government should weaken, which may create prerequisites for the growth of the industry.

JPMorgan analysts also pay attention to the impact of Donald Trump's possible victory in the upcoming US presidential election. They believe that such a victory may lead to a softening of government rhetoric regarding cryptocurrencies, which will have a positive impact on the bitcoin and gold market.

Recall that in the incomplete seven months of 2024, large holders of bitcoins (bitcoin-kits) purchased 1.45 million BTC, which emphasizes the continued interest in the first cryptocurrency, despite the current market fluctuations.