Bank of America: Crypto Market’s Near-Term Upside Potential Limited

Bank of America predicts low trading activity and less participation from individual investors in the crypto market.

Cryptos Headlines Token Airdrop Is Live, Claim $50 Worth Of 5000 CHT Token Free On CryptosHeadlinesToken.com

According to a recent report by Bank of America (BAC), the potential for significant growth in cryptocurrency markets is limited in the near future.

In simpler terms, analysts Alkesh Shah and Andrew Moss from Bank of America (BAC) stated that due to low confidence, lack of significant triggers, and the sector’s already strong performance this year, the cryptocurrency market is expected to remain stagnant within a certain price range. The challenging overall economic conditions are also anticipated to restrict any significant growth in digital assets.

According to the bank, they have observed that hedge funds are gradually reengaging in token trading based on their discussions with clients. They believe that momentum-based trading strategies could potentially benefit from increased price fluctuations caused by declining trading activity in the market.

Momentum investing is a strategy where investors buy assets that are going up in value and sell them when they think they have reached their highest point. They look for opportunities to buy during short periods of time when prices are rising quickly, and then sell when they believe the upward trend is slowing down.

Also Read This Related: Bitcoin of America Ceases Unlicensed Crypto ATM Operations in Connecticut

Cryptos Headlines Token Airdrop Is Live, Claim $50 Worth Of 5000 CHT Token Free On CryptosHeadlinesToken.com

According to Bank of America, they predict that the amount of trading happening with cryptocurrencies will stay relatively low, and individual investors will continue to stay away from participating in these trades.

Important: This article is intended solely for informational purposes. It should not be considered or relied upon as legal, tax, investment, financial, or any other form of advice.

Author

  • Salim

    "Salim is a news writer at CryptosHeadlines who creates excellent, well-optimized content to ensure user satisfaction. He is skilled in forecasting News About Cryptocurrency Market & blockchain Industry."

Leave a Reply

Your email address will not be published. Required fields are marked *