According to Business Insider, in a recent report, JPMorgan’s analysts noted that rising interest rates could put downward pressure on the price of bitcoin, just as they traditionally do for gold.
Yet, the report points out central banks are now cutting back on their bond-buying sprees to cool growing inflation, which will lead to rising interest rates and bond yields.
JPMorgan did say that both cryptoassets appear to be overvalued in current market conditions.
The analysts revealed they see bitcoin as a scarce product that is increasingly competing with gold for investors’ preference as a hedge against inflation.
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