JPMorgan Says $50 Billion Has Flowed Into Crypto Markets This Year as Q4 Momentum Improves
Summary
- JPMorgan said about $50 billion has flowed into the cryptocurrency market this year.
- It said ETF inflows and an increase in futures positions stood out in the third quarter.
- Broader participation from retail and institutional investors is creating positive momentum for fourth-quarter fund flows.
Forecast Trend Report by Period
JPMorgan estimates that about $50 billion has flowed into the cryptocurrency market so far this year, with third-quarter gains in exchange-traded fund inflows and futures positions helping build positive momentum for fourth-quarter fund flows.
The Block reported on October 8 that a JPMorgan research team led by analyst Nikolaos Panigirtzoglou said in a report that inflows into the crypto market have reached about $50 billion this year.
On an annualized basis, inflows so far this year amount to about $66 billion, up from JPMorgan's $52 billion estimate in May. That is still only half of last year's annualized inflow total.
JPMorgan said corporate crypto purchases and venture capital fundraising were the main drivers in the first half of the year. In the third quarter, ETF inflows and rising futures positions stood out.
The bank added that participation from retail and institutional investors has broadened, creating positive momentum for fourth-quarter fund flows.
JPMorgan estimates total market inflows by combining flows into crypto funds, flows in CME futures markets, crypto venture capital fundraising, and digital-asset purchases by listed miners and companies.
