Jamie Dimon, the Chief Executive Officer (CEO) of American investment firm JPMorgan, has resumed his attack on bitcoin, calling the digital currency “worthless,” contradicting his team’s forecast.
Dimon has advocated for the prohibition of cryptocurrencies, encouraging the US to follow China’s lead, which has been cracking down on cryptocurrency exchanges and including the decentralized commodity on its blacklist of prohibited businesses.
Dimon’s bitcoin smear campaign
In recent statements, the CEO indicated that he does not want to be a spokesman for bitcoin since the digital currency is worthless, but that JPMorgan cannot prohibit its clients from disagreeing with him.
“I personally think that bitcoin is worthless. I don’t want to be a spokesperson… I don’t care. It makes no difference to me. Our clients are adults. They disagree. That’s what makes markets. So, if they want to have access to buy yourself bitcoin, we can’t custody it but we can give them legitimate, as clean as possible, access,” he stated.
Given his skepticism of bitcoin and other digital currencies, which he has been critical of since 2014, Dimon guaranteed that the business would offer access for clients to acquire the digital asset themselves.
When bitcoin was selling below $400 seven years ago, the investing magnate argued it was a bad store of money. In 2017, when the value of the digital asset had dropped below $14,000, he called it a scam once more.
As bitcoin continued to rise, defying opponents’ predictions, Dimon said, “Bitcoin isn’t my cup of tea.” In 2020, the year the asset class’s strongest bullish run began, it traded below $30,000.
He has also advocated for regulation or a total prohibition, akin to what China has done, but US Federal Reserve Chairman Jerome Powell and Securities and Exchange Commission Chairman Gary Gensler have taken a stand against the latter.
JPMorgan’s bitcoin team makes a big prediction.
While bitcoin is now selling at $54,786.57, JPMorgan’s research team, led by Nikolaos Panigirtzoglou, predicted that the most popular digital currency will soon reach six digits.
The asset class was trading around $6,945 per coin in January 2020, before the COVID-19 struck, pushing investors to look for a store of value to keep their money, which prompted them to the cryptocurrency world, which was valued at $27,371 as of December 30, 2021.
Bitcoin reached $64,888 in Q2 2021, its greatest value since Satoshi Nakamoto launched it in 2009, the year it traded at its lowest, $0. However, JPMorgan’s research team believes that bitcoin’s value may reach $146,000 in the long run.