JPMorgan Flags Deeper Bitcoin Skepticism Than Gold
JPMorgan analysts have found that investors are more skeptical about Bitcoin than gold based on several key metrics. The bank's analysis shows that while both assets have seen inflows into exchange-traded funds (ETFs), Bitcoin's flows have recovered only about half of the outflows recorded earlier this year.
According to JPMorgan, the short interest in BlackRock's iShares Bitcoin Trust (IBIT) remains near its highest level of the year, while that of SPDR Gold Shares (GLD) trades below its historical average. This higher hedging demand around Bitcoin is seen as a potential advantage for the asset if investors reduce their protections.
The JPMorgan analysis focuses on three key elements: flows to ETFs, institutional positioning in futures markets, and the level of hedging around listed funds. The bank believes that this caution could support Bitcoin's appeal relative to gold if demand for hedging decreases.