Apr 19, 2021 08:41 UTC
Apr 19, 2021 at 08:41 UTC
Bank of America Investigation: 74% of Fund Managers Understand BTC as a Bubble
The greatest new Bank of America Fund Manager Survey displays that near 3 out of 4 professional investors reason that BTC is a bubble. The fund bosses also valued BTC 2nd on the list of the greatest crowded trades. Lately, investment bank JPMorgan also cautioned that cryptocurrency as a subdivision is in a bubble.
The Bank of America Fund Manager Review for April displays that the mainstream of fund managers see BTC as a bubble. The survey enquires 200 fund managers with $533 billion in assets below management.
Answering the question of whether BTC is a bubble, 74% of investors answered “yes.” Just 16% said “no” to the question & 10% held they also did not know or did not need to answer the question. In contrast, only 7% of investors think that the U.S. equity market is in a bubble. Most defendants think that the equity market is in ‘a late-stage bull market.’
The fund managers who replied to the investigation also rated BTC second on the list of the greatest crowded trades, with 27% said BTC was the greatest crowded trade. Technology stocks position 1st with just over 3 in 10 defendants citing tech as the most packed trade.
However, about 10% of fund managers still trust that BTC will outdo in 2021.
Bank of America has been reverbing that BTC is in a bubble for months. Previous this year, Michael Hartnett, chief investment strategist at Bank of America Securities, held that BTC appearances like “the mother of all bubbles.” In March, the bank’s tactician said that the only decent reason for holding BTC is “sheer price gratitude.”
Lately, investment bank JPMorgan also called cryptocurrency as one of the sectors it trusts is in a bubble. Notwithstanding this opinion, the firm has foretold that the price of BTC could influence $130K in the long term.