Stability in the Bitcoin Futures is Positive for the Crypto Market: JPMorgan

The recent stability in the Bitcoin futures market is a positive sign for the cryptocurrency market, even though the market has not completely recovered as of now, according to the latest research note from JPMorgan investment bank cited by Bloomberg.

Healing Signs in the Cryptocurrency Market

With the cryptocurrency market facing immense pressure since last month, the overall market cap of digital currencies lost nearly 50% of its value during the last six weeks.

Amid the gloom and doom, the latest research note from JPMorgan investment bank suggests the growing healing signs in the cryptocurrency market.

JPMorgan strategists Josh Younger and Veronica Mejia Bustamante highlight that the latest stability in the Bitcoin futures market is a positive sign for the cryptocurrency market even though the market is not healthy as of now.

“The near-term setup is challenging. There is likely still an overhang of underwater positions which need to be cleared through the market. So, while the cryptocurrency market shows signs that it is not yet healthy, it does also appear to be beginning the process of healing”, reads the research note.

With the digital asset slipping towards $30,000, the near-term setup is “challenging,” at least for now, per the analysts, as BTC looks to consolidate above the $30,000 level.

Crypto Market in the Greens

After a sharp dive on 25th June, the world’s leading cryptocurrency Bitcoin made a strong comeback over the last two days, currently trading at $34,796, gaining 4.6% over the last 24 hours.

This comes as a positive sign amid market uncertainties like China’s mining crackdown and the U.S. government’s unclear stand towards cryptocurrencies.

In fact, the top 20 cryptocurrencies have overall shown a positive sign with Ethereum (ETH) and Chainlink (LINK) gaining 5% each to Internet Computer (ICP) rallying over 50% in a single day to $46.6 a token.

The global crypto market cap as of today stands at $1.42T, a 3.1 percent increase over the previous day. Meanwhile, BTC’s price movements will continue to determine the overall shape of the market in the medium term.