JPMorgan: Bitcoin is still in the "overbought zone" and may decline further

ChainCatcher news, JPMorgan analysts stated in a research report on Thursday that after a significant pullback last week, there was a rebound this week, but Bitcoin is still in the "overbought zone," indicating that Bitcoin may decline further. Analysts led by Nikolaos Panigirtzoglou noted that two indicators—the futures position proxy of JPMorgan and the premium of Bitcoin futures relative to spot—suggest that Bitcoin remains overbought. These indicators indicate that positions have only been slightly unwound so far.

Additionally, last week analysts predicted that due to reduced miner rewards and rising mining costs, the price of Bitcoin could drop to around $42,000 after the halving.