According to PANews, JPMorgan analysts have issued a warning regarding the weakening institutional demand for Bitcoin and Ether futures on the Chicago Mercantile Exchange (CME), indicating a bearish signal for the cryptocurrency market in the short term.
In a report released on Wednesday, JPMorgan Managing Director Nikolaos Panigirtzoglou and his team noted that the total market capitalization of cryptocurrencies has decreased by 15% from its all-time high of $3.72 trillion on December 17, now standing at approximately $3.17 trillion. This decline has resulted in CME Bitcoin and Ethereum futures nearing spot premiums, where futures prices fall below spot prices, mirroring the situation observed in June and July of the previous year.
The analysts highlighted that the reduced demand for CME Bitcoin and Ether futures from institutional investors poses a downside risk to the cryptocurrency market in the near term.
