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JPMorgan Says Bitcoin’s Rebound Outpaces Ether in Institutional Flows

The bank points to caution toward altcoins driven by security breaches plus weak decentralized finance use.

Overview

  • JPMorgan, which released its report Friday, said Bitcoin has recovered far faster than Ether since the Iran-related selloff.
  • Spot Bitcoin ETFs have regained about two-thirds of recent outflows. Spot Ether ETFs have recovered roughly one-third.
  • CME futures data show institutional traders have nearly restored prior Bitcoin exposure. Ether positioning on CME remains well below earlier levels.
  • The bank said upcoming Glamsterdam and Hegota upgrades may lift throughput and cut base-layer costs but may not deliver lasting demand growth.
  • Lower fees have reduced Ethereum’s main-chain revenue and weakened its fee-burn that destroys part of each transaction, which has sped up net supply growth for Ether.