Bitcoin ($BTC USD) Cryptocurrency Price Outlook: Futures a Warning to JPMorgan

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Bitcoin’s strongest two-day rally in about a fortnight has but to dispel doubts concerning the digital foreign money’s vulnerability following May’s rout.

The cryptocurrency has jumped 9% over two days and was buying and selling at $36,740 as of seven:05 a.m. in London on Thursday. While the momentum could cheer bulls, a JPMorgan Chase & Co. staff stated backwardation within the futures market — the place the spot worth is above futures costs — is a cause for warning.

“We imagine that the return to backwardation in current weeks has been a detrimental sign pointing to a bear market,” JPMorgan strategists led by Nikolaos Panigirtzoglou wrote in a notice. They added that Bitcoin’s comparatively depressed share of whole crypto market worth is one other regarding development.

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