A JP Morgan analyst claims that investors are now allocating more money to bitcoin than to gold.
According to reports, the managing director of JPMorgan, Nikolaos Panigirtzoglou, said that the percentage of Bitcoin in investor portfolios is 3.7 times more than that of gold, even after taking volatility into consideration.
The analyst estimated that the potential market size for Bitcoin exchange-traded funds (ETFs) would reach $62 billion using gold as a benchmark. The researcher also pointed out the notable inflows of over $10 billion into spot ETFs since their launch in January.
As per an alternative report by JPM Securities, the market for spot Bitcoin ETFs might potentially reach $220 billion in the next two to three years.
With the largest cryptocurrencycurrency in the world seeing a more than 45% increase in market capitalization in February, Bitcoin ETFs have proven to be advantageous for the entire cryptocurrencycurrency market. From $1.5 billion in January to $6.1 billion in February, Spot Bitcoin ETF net sales grew.
When withdrawals from the Grayscale Bitcoin Trust ETF stop, experts believe that the largest daily inflows to spot Bitcoin ETFs could rise significantly. On March 12, these inflows peaked at almost $1 billion.
The Bitcoin halving, which is set for a little over a month from now, will, in accordance with Ki Young Ju, CEO of the cryptocurrencycurrency analytics firm CryptoQuant, result in a halves of the daily supply of BTC. Over the following six months, this will lead to a rise in demand and possibly a supply problem.
