JPMorgan: Crypto more sensitive to macro trends than halving cycle

Cryptocurrency prices are more sensitive to broader macroeconomic trends than to the asset's four-year halving cycle, according to a report from JPMorgan. The bank stated that crypto is transitioning from a venture capital-driven ecosystem to a typical macro asset class influenced by institutional liquidity. Previously, crypto projects raised funds through large private rounds, and retail investors often entered the market after substantial price increases. More recently, however, retail participation has declined, leading the ecosystem to rely more on institutional investors to stabilize liquidity and support long-term price formation. JPMorgan assessed that the crypto market remains structurally inefficient with uneven liquidity, which creates both investment opportunities and significant price volatility. The report concluded that recent price action demonstrates a greater influence from macroeconomic flows than from the predictable halving cycle. JPMorgan also noted that Bitcoin has the long-term potential to rise to $240,000 and that cryptocurrency should be viewed as a multi-year growth asset.