Bitcoin Price Stuck in a Rut, But JPMorgan Sees a Reversal in August
Bitcoin is stuck in a holding pattern, trading around $57,000. It’s been a bumpy ride this week, with some brief gains after positive economic news, but it hasn’t been able to break out. However, analysts at JPMorgan have a glimmer of hope for Bitcoin bulls: they believe the price trend will reverse in August.
What’s Keeping Bitcoin From Breaking Out?
It’s a battle of the bulls and the bears. On one hand, German government sales of Bitcoin are continuing, albeit at a slower pace. They still hold 3,846 Bitcoin, but have sold off around $3 billion since early June. On the other hand, U.S. spot Bitcoin ETFs have been on a buying spree, with over $737 million flowing into these funds this week alone.
Bitcoin-Related Stocks See Mixed Results
MicroStrategy’s stock price continues its ascent after announcing a 10-for-1 stock split. Iris Energy shares rebounded after being hit by a short seller’s report, with analysts coming to its defense. Block (SQ) stock rose as well, thanks to Bernstein’s bullish outlook on its deal to provide mining hardware to Core Scientific.
SEC’s Shift on Crypto Custody Could Boost Adoption
On the regulatory front, the SEC is showing some flexibility on crypto custody. They are considering exceptions to the restrictive SAB 121 guidance, which could pave the way for wider adoption of crypto assets by traditional finance firms.
