JPMorgan: Bitcoin's Pullback Is "Significant but Not Bearish," Crypto Winter Has Not Arrived

ME News, December 10 (UTC+8), JPMorgan analysts stated that despite Bitcoin experiencing a significant correction over the past month, the current market has not entered a “crypto winter,” and the overall bull market cycle has not ended. The analysts pointed out that Bitcoin once fell to $81,000 last month, with its monthly performance down 9% compared to the beginning of the year—the first year-on-year decline since May 2023. However, while this correction is “significant,” it is not enough to indicate structural deterioration. As of Tuesday, Bitcoin was trading around $93,000, down about 1.5% from its recent high. The team emphasized that digital assets were temporarily boosted by post-election sentiment, and the subsequent decline of over 20% in market cap and weakening trading volume are both considered normal adjustments. Structurally, the scale of stablecoins has grown for 17 consecutive months, demonstrating “significant resilience.” JPMorgan believes that the traditional four-year cycle logic is weakening, and ETF investors are bringing a more stable capital structure to the market, making deep drawdowns of around 80% increasingly unlikely. Standard Chartered Bank also stated in a research report that with the Federal Reserve’s policy expectations turning more dovish, “crypto winter may be a thing of the past.” (Source: ME)