JPMorgan Says Importance of Bitcoin Futures Has Been Understated

  • Market structure ‘has likely changed considerably’: strategist
  • Futures share of volumes is up sharply, Panigirtzoglou says
Photographer: Daro Sulakauri/Bloomberg
Lock
This article is for subscribers only.

Bitcoin futures may be more important than many in the market appreciate, according to JPMorgan Chase & Co.

Recent reports from cryptocurrency asset manager Bitwise and the Blockchain Transparency Institute indicate that only a small percentage of reported trading may be authentic. If only around 5% of reported May trading of $725 billion is genuine, it would imply that the actual volume of Bitcoin trading on cryptocurrency exchanges in the month was around $36 billion, JPMorgan strategists led by Nikolaos Panigirtzoglou wrote in a report Friday, working with data from Coinmarketcap.com.