The Rise of Bitcoin: JPMorgan and Wells Fargo Enter the Crypto Market

Key Takeaways:

• Wells Fargo and JPMorgan Chase both disclosed holdings in spot bitcoin exchange-traded funds last week.
• Twitter co-founder Jack Dorsey said he thinks bitcoin’s price will rise to $1 million by 2030.
• Crypto analysts are tracking meme coins this week, as the return of famed GameStop retail trader “RoaringKitty” to social media led to a surge in prices over the weekend.

The latest week was highlighted by positive public sentiment for bitcoin. Wells Fargo (WFC) and JPMorgan Chase (JPM) both reported holdings in spot bitcoin exchange-traded funds, and Twitter co-founder and former CEO Jack Dorsey forecast that bitcoin’s price could climb to $1 million by 2030. Meanwhile, crypto analysts are tracking meme coins this week, as the return of famed GameStop retail trader “RoaringKitty” to social media led to a surge in prices over the weekend.

Wells Fargo, JPMorgan Report Holding Bitcoin ETFs

JPMorgan Chase and Wells Fargo joined the ranks of major global banks disclosing exposure to bitcoin through investments in spot bitcoin ETFs launched in January, according to 13F filings.

JPMorgan disclosed investments totaling $731,246 in BlackRock’s iShares Bitcoin Trust (IBIT), Bitwise’s Bitcoin ETF (BITB), Fidelity’s Wise Origin Bitcoin Fund (FBTC), and Grayscale Bitcoin Trust (GBTC), with the majority, $477,425, in IBIT.

Meanwhile, Wells Fargo reported a $141,817 investment in Grayscale’s GBTC in the first quarter. This move follows similar disclosures from BNP Paribas and BNY Mellon, indicating a growing trend among traditional financial institutions, despite their relatively small exposures.

Jack Dorsey’s $1 Million Bitcoin Call

Block Chief Executive Office Jack Dorsey expressed a bullish outlook for bitcoin (BTC) during an interview on Pirate Wires with journalist Mike Solana. Dorsey predicted that the price of bitcoin could reach “at least a million” by 2030 with potential for further growth beyond that point. He emphasized that bitcoin’s price, while significant, isn’t the most interesting aspect of the cryptocurrency. Instead, Dorsey highlighted the collaborative nature of the bitcoin ecosystem.

Dorsey also discussed his recent departure from the board of BlueSky, a decentralized Twitter alternative he helped launch. He expressed disappointment in how BlueSky had evolved, stating that it had started behaving more like a traditional company than the open-source protocol he had envisioned. Dorsey’s focus on decentralized and censorship-resistant platforms aligns with his support for Nostr, an anonymous, open protocol that lacks centralized control.

Dorsey remains committed to bitcoin, with Block planning to invest 10% of its gross profit from bitcoin-related products back into buying more bitcoin each month.

What To Expect in the Markets This Week

Bitcoin’s price has been mostly stable over the past week, hovering around $62,000. However, a single post by retail trader Keith Gill, known as “Roaring Kitty,” caused a stir in the crypto market, particularly among meme coins.

Gill, who gained notoriety for his role in the GameStop short squeeze of January 2021, made his first post since late 2021, sharing a meme that hinted at a period of intense focus or concentration. This post was interpreted by many as a signal to engage more actively in trading.

Following Gill’s post, various meme coins such as an unaffiliated GameStop meme coin on the Solana blockchain and an AMC token surged by more than 550% and 1,200%, respectively. Other microcap cat-themed meme coins like KITTY rose by thousands of percentage points.

In conclusion, the entrance of major banks like JPMorgan and Wells Fargo into the cryptocurrency market signals a growing acceptance and adoption of digital assets. With influential figures like Jack Dorsey making bullish predictions for bitcoin’s future and meme coins capturing the attention of traders, the crypto market continues to be dynamic and exciting. Investors and enthusiasts alike will be watching closely as these trends unfold in the coming weeks.