Despite the crypto bear market, JPMorgan believes bitcoin is grossly undervalued. The bank today repeated its appraisal of bitcoin’s fair worth of $38,000, which it awarded the cryptocurrency in February when it was trading around $43,400. This is almost a 28% increase over the current price of $29,757. JPMorgan Gives Nod To Crypto As Alternative Asset Class Cryptos have surpassed real estate as one of the bank’s favored “alternative assets” or assets that don’t fit into traditional categories like equities and bonds, according to a note released on Wednesday. It stated that it still believes $38,000 is a fair price for bitcoin. That sum was 28% higher than bitcoin’s morning price of $29k. The bank’s strategists, including Nikolaos Panigirtzoglou, wrote in the note: “The past month’s crypto market correction looks more like capitulation relative to last January/February and going forward we see upside for bitcoin and crypto markets more generally.” Related reading | Bitcoin Rejects Downside At $29k, Here’s Why This Is Good However, JPMorgan warned that the steep sell-off in Bitcoin and other cryptocurrencies has been more than in other alternative investments such as private equity, private debt, and real estate. As a result, the bank believes that “digital assets” have greater opportunity for recovery than other alternative assets. The report read: “...
