In a note sent to investors Wednesday, JPMorgan detailed its reasoning for seeing Bitcoin’s fair value between $ 23,000 and $ 35,000 in the medium term. It is also detailed that, the recent decline of Bitcoin may take time to recover. Since JP Morgan argued that institutions do not intervene and buy in the fall of Bitcoin.

The banking giant previously envisioned a roadmap of USD 140,000. Whether the largest cryptocurrency matches the gold allocation and volatility profile.

But that’s off the table for the foreseeable future, according to JP Morgan’s note, which predicts that “total convergence or equalization of volatilities or allocations is unlikely in the foreseeable future.”

JP Morgan also said China’s crackdown on mining operations would have a positive impact on Bitcoin in the medium term. “As it accelerates a shift away from China’s high share in Bitcoin hash rate, reducing concentration.”

“The crackdown on mining operations in China should be considered positive for Bitcoin in the medium term, as it accelerates the move away from China’s high share of bitcoin hash rate, reducing concentration.” He said JP Morgan.

The bank considers Bitcoin’s recent decline to be more a continuation of weak flows and price dynamics, rather than attributing it to China’s mining crackdown. And weak flows suggest that institutions are not intervening to buy bitcoin’s fall to current levels.

According to JP Morgan, another important factor preventing a possible bull run is the end of a six-month blocking period for the Grayscale Bitcoin Trust fund. It recorded an entry of nearly $ 4 billion in December and January.

Tanzania’s central bank could overturn Bitcoin and cryptocurrency ban following presidential endorsement

The Bank of Tanzania would be working to repeal its cryptocurrency ban. Amid favorable comments on cryptocurrencies made by the country’s president.

According to Reuters, Tanzania’s central bank has begun work on directives from the country’s federal government that could see a repeal of its November 2019 cryptocurrency ban.

At the time, Hassan ordered the Bank of Tanzania to stay up to date, given the growing popularity of cryptocurrencies.

These favorable comments on cryptocurrencies came immediately after El Salvador’s Bitcoin Law. And, a wave of positive BTC sentiment in several Latin American nations.

Japan warns Binance Exchange about licensing

In a statement released by the Financial Services Agency on Friday, the agency confirmed Thursday’s news that suggested Binance was about to be warned by the financial watchdog given its lack of registration with the regulator.

However, the statement does not imply whether the regulator is weighing the criminal charges, as stated in Nikkei’s previous report. The exchange told Bloomberg earlier this year that it was working with Japanese regulators to obtain a license.

In response to the FSA statement, Zhao Changpeng, Binance CEO, confirmed receipt of the warning letter. And, he stated that the firm’s legal team is in dialogue with the agency.

Quick notes

  • The president of El Salvador has announced that the government will send $30 in Bitcoin (BTC) to every adult citizen of the country.
  • The announcement was well received by Bitcoiners: influencers speculate that the government of El Salvador will need to buy the required BTC it intends to distribute. Which will add more than $ 100 million in buying pressure in the markets.
  • Athena reports that it will install some 1,500 Bitcoin ATMs in El Salvador.
  • That’s what Athena’s team announced today. According to information disseminated by various media. It is indicated that, with this and other measures, they are preparing to make a wide deployment of operations in El Salvador, for which they also plan to open offices in the country and have everything ready before September 7 of this year, at which time the new Bitcoin law enters into force.