JPMorgan analyst sees risk of downward correction in Ethereum competitors

Nicholas Panigirtzoglou, JPMorgan analyst, the largest U.S. bank, believes there is a risk of a downward price correction on Ethereum’s main competitors, Solana, BNB and Cardano. All of these digital assets are projects that develop blockchains that have similar functionality to what Ethereum has, in particular in being smart contract venues. All of these assets have risen in value very much. For example, Solana has risen in value 50 times since the beginning of the year, Cardano has risen almost 16.7 times during the same time, BNB has risen 11.6 times.

According to JPMorgan analyst, these assets are “overheated,” but the capitalization and price of bitcoin is “at uncomfortable levels. A fresh batch of statistics from Glassnode is in favor of further growth for the No. 1 cryptocurrency. According to the organization’s analysts, the number of lost bitcoins, or those digital assets that are in long-term storage, has reached a seven-month high of 7 million 167,889,595 BTC, representing nearly 34% of the entire bitcoin supply at the moment. Three weeks ago, in August, that metric was only climbing to a five-month high.

Analyst JPMorgan analyst believes there is nothing unusual for the cryptocurrency market in the 20% drop in bitcoin prices per day that happened this week. Therefore, he does not exclude a new correction, believing that in terms of technical analysis, there are two important support levels for bitcoin, at $ 42.5 thousand and $ 40 thousand.