JPMorgan Chase: Bitcoin futures are oversold, silver has turned overbought, and gold has a long-term target price of $8,500.

Notizie in breve

JPMorgan analysts believe Bitcoin futures appear oversold, while gold and silver futures have turned overbought, as investors—from retail to institutional—are now favoring precious metals over Bitcoin. Despite some near-term headwinds facing precious metals, analysts maintain a bullish stance on gold's long-term prospects. They note that both private buyers and central banks continue building their gold reserves. Therefore, they reiterate their outlook: if households persist in using gold as a hedge against stocks instead of long-term bonds, private gold holdings could rise from slightly above 3.00% today to approximately 4.60% in the years ahead, potentially driving gold's theoretical price to between $8,000.00 and $8,500.00 per ounce.

PANews reported on January 31 that, according to The Block, JPMorgan analysts stated that Bitcoin futures appear to be oversold, while gold and silver futures have entered overbought territory, as investors across both retail and institutional channels increasingly favor precious metals over Bitcoin.

Despite short-term risks for precious metals, analysts remain optimistic about gold's long-term prospects. They note that both private investors and central banks are consistently increasing their gold holdings. Analysts reiterate that assuming households continue to use gold as a hedge against equities instead of long-term bonds, private investor gold holdings could rise from the current slightly over 3% to approximately 4.6% in the coming years. In this scenario, analysts believe the theoretical price range for gold could reach $8,000 to $8,500 per ounce.