Nikolaos Panigirtzoglou, a JPMorgan analyst, is still bullish on Bitcoin despite its recent dip. Last week, he said that it should be trading at around $45,000, based on the current price of gold near the $2,000 level. According to his research note, this is assuming that BTC and gold equalize in terms of the private investors’ portfolio when taking into consideration risk capital and volume.
Whales have taken advantage of the recent dip and have purchased over $100 million worth of BTC in the last 24 hours. Although the US Dollar Index and other external factors may continue to negatively affect Bitcoin in the short term, the analyst remains optimistic for the long term because of the halving that is due to happen in 2024. This will cause the cost of producing a single BTC to reach $40,000, which is likely to result in a bullish trajectory for the asset as it has during previous halving events.
Despite the recent decline, Bitcoin is still up more than 60% this year.
