- JPMorgan has upgraded its view on crypto and Coinbase amid the ongoing Bitcoin price surge, despite past criticism from CEO Jamie Dimon.
- The bank now sees potential for further growth and sustainability in crypto assets like Bitcoin and Ethereum.
- JPMorgan analyst Kenneth Worthington said crypto activity levels and Coinbase’s earnings power can improve in 2024 as prices increase.
JPMorgan has seemingly changed its tune on crypto amid the ongoing Bitcoin surge, upgrading Coinbase‘s rating in a recent client note. This standing is in opposition to comments made by JPMorgan CEO Jamie Dimon, who has been vocal in his criticism of certain crypto assets like Bitcoin.
JPMorgan Optimistic About Crypto Amid Market Rally
Since the start of the week, the digital asset market has been amid a surge led by Bitcoin, which reached its highest level since November 2021 by surpassing $57,000 on Tuesday. Ethereum also surpassed $3,200 and is up 50% over last year. Subsequently, JPMorgan, known for its opposition to crypto, has made quite the turnaround with its recent optimism.
JPMorgan Upgrades Coinbase Rating Amid Bitcoin Growth
Specifically, JPMorgan recently spoke about the sustainability of crypto amid the Bitcoin surge. The bank upgraded Coinbase’s rating in a recent client note, stating the potential for further growth of digital asset value. JPMorgan analyst Kenneth Worthington said “We see the higher cryptocurrency prices not only sustaining but improving activity levels and Coinbase’s earning power as they look to Q1 2024.”
Jamie Dimon’s Past Crypto Criticism
This optimistic sentiment arrived after JPMorgan recently stated that 78% of institutional traders had no interest in crypto. Moreover, Jamie Dimon has not held back his critical perception of Bitcoin, calling it a “pet rock” and denying its viability as an asset, despite noting blockchain technology‘s use cases.
Conclusion
Despite past criticism, JPMorgan seems to be changing its tune on crypto as assets like Bitcoin surge. The bank is now optimistic about the sustainability and growth potential of the crypto market in 2024.
