The question of a further rally in crypto assets captivates J.P. Morgan. The analysts at the US-based bank do not believe in it. Interestingly, the bank is sceptical about the further growth of Bitcoin and other popular digital currencies.

Having scrutinized the situation in the crypto market, analysts at J.P. Morgan conclude that Bitcoin is highly overvalued. Meanwhile, one Bitcoin is trading at $67,000, which is an elevated price, according to the bank. The analysts compared the value of Bitcoin and gold, noting that the cost of the precious metal, adjusted for the difference in the number of assets, is approximately $53,000.

Bearing in mind the cost of mining, one Bitcoin is worth about $43,000. This figure differs from its market price.

At the moment, the value of the flagship cryptocurrency is way above the price of gold when adjusted for the number of assets. Historical data indicates that Bitcoin is not able to dominate the precious metal for long. "The first cryptocurrency will yield to its tangible competitor in the near future," J.P. Morgan predicts.

The analysts point out that the ongoing rally that began last week is coming to an end. After this, a strong downward correction is imminent. Nevertheless, the crypto experts forecast a revival of the uptrend for Bitcoin and other digital assets in August. According to J.P. Morgan, the downward correction in the crypto market will end in the last month of summer.