Institutional Investors Won’t be Seeking Crypto Investments in 2023 – JPMorgan
According to a recent JPMorgan Chase survey, most institutional investors are not considering investing in crypto this year.
72% of institutional investors who participated in the survey don’t plan to engage in cryptocurrency activities. In comparison, 14% stated that they are already trading—the rest plan to join the crypto space within the next five years.
These results shouldn’t be surprising since 2022 was one of the roughest years in crypto and the global financial system. The war between Russia and Ukraine, high inflation rates, political conflicts, and other macroeconomic factors stopped people from investing in risky assets.
Terra (LUNA) and UST’s crash, followed by the collapse of FTX, took the space by surprise and deepened the “crypto winter.” Prices fell as much as over 70% from their ATHs.
The survey further reveals that 30% of respondents predict that the recession will remain a significant threat in 2023.
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One of the minor worries of crypto investors happens to be concerned about tighter regulations. The market’s wild volatility remains a factor that scares many respondents to the survey, highlighting the impact of FTX’s crash. The second and third most significant concerns are liquidity issues and workflow efficiency.
Nonetheless, the crypto market is undergoing a relief rally that led Bitcoin past its $24,000 resistance level on Thursday. At the time of writing, BTC is trading around $23,400.
Alexander Stefanov
Reporter at CoinsPress
Alex is Editor-in-Chief of Coinspress and co-founder of Millennial Media Group, with nearly a decade of experience covering financial markets - crypto first, then everything else. It started in 2016 with Bitcoin. Like most people at the time, he didn't fully understand it - so he kept digging. Blockchain, tokenomics, the projects, the cycles. That curiosity never stopped, and eventually pulled him into traditional markets too: equities, commodities, macro. Not because he left crypto behind, but because you can't properly understand one without the other. What drives him is straightforward: he wants to know why something is happening, not just that it's happening. Most market coverage stops at the headline - price up, price down, here's a chart. Alex finds that kind of reporting actively unhelpful. If you walk away from an article without understanding the mechanism behind the move, what did you actually learn? He holds a degree in Tourism from New Bulgarian University - not the most obvious path into financial markets, but markets have a way of pulling in people who are simply too curious to stay out. He has authored over 200 in-depth analyses and more than 10,000 articles across crypto and traditional finance. He still thinks every day in markets teaches him something new. That's probably why he hasn't stopped.
