JPMorgan Sees Potential Altcoin Season in August

If we are to believe the analysts of the large investment bank JPMorgan, then we could get an Altcoin Season in August. That is, a period in which altcoins perform better than Bitcoin. For that to happen, the market must first recover properly from the corrections.

JPMorgan is bullish on the recovery

In a recent research report, JPMorgan notes that they expect Bitcoin and the crypto market to recover in August. Furthermore, the analysts at the major investment bank note that the potential for liquidations is decreasing.

However, the negative market conditions are causing the market to revise its estimates for this year downwards. Earlier, JPMorgan had forecast an inflow of $12 billion for the market, while now it is only $8 billion.

But if Bitcoin price rises in August, according to the bank’s estimates, altcoins could also recover. JPMorgan finds it odd that people are saying that Bitcoin growth is bad for the smaller coins in the market.

According to JPMorgan, this is not the case, because they claim that altcoins simply follow the Bitcoin price. In the second half of 2023, we saw altcoins revive and that also happened after Bitcoin had risen.

Altcoins are performing dramatically

Right now, altcoins are simply underperforming. About 70% of altcoins underperformed Bitcoin over the past 90 days, according to data from BlockChain Center.

The only altcoins that are doing better than Bitcoin are Toncoin, PEPE, BONK, Kaspa, Monero and Tron. With Monero and Tron there are two coins that have been around for a while.

But if you look at the charts of those coins over the longer term, you can also see that they didn’t outperform Bitcoin. It’s just very difficult to outperform Bitcoin in the long term, because the rest of the market is still looking for a use case for the technology.

Bitcoin, on the other hand, is being adopted worldwide as digital gold, a digital means of saving.

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