According to analysts at JPMorgan, crypto-focused exchange-traded funds (ETFs), particularly for Bitcoin (BTC), are expected to see inflows in 2026 that will far exceed those from 2025.
Led by Nikolaos Panigirtzoglou, the analysis highlights a significant trend where capital flowing into the crypto market through ETFs reached a record high of $130 billion last year, driven by a growing interest in digital asset treasuries (DATs).
DAT Companies Lead Crypto Inflows In 2025
Panigirtzoglou explained that the inflows observed in 2025 were largely attributed to Bitcoin and Ethereum (ETH) ETFs, which the analyst suggests were primarily fueled by retail investors, as well as Bitcoin acquisitions by DAT companies.
In contrast, participation from institutional investors and hedge funds, as indicated by the buying activity in Bitcoin and Ethereum Chicago Mercantile Exchange (CME) futures, appeared to have declined compared to 2024.
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The analysts noted that over half of the total digital asset inflows in 2025, approximately $68 billion, came from DAT companies. Another $23 billion was attributed to formal strategies, marking a slight increase from $22 billion in Bitcoin buying from the previous year.
Notably, other DATs acquired about $45 billion in digital assets, a significant rise from just $8 billion in 2024. However, most of these purchases occurred earlier in the year, and by October, the momentum in crypto buying from DATs had markedly decreased.
Crypto venture capital funding also contributed to the overall capital flows, though this area remained substantially lower than the peaks experienced in 2021 and 2022.
While total crypto venture capital funding saw a modest increase in 2025 compared to 2024, the number of deals declined sharply, and investment activity became increasingly concentrated in later-stage funding rounds.
JPMorgan further suggested that this muted growth in venture funding was, in part, due to the increasing allocation of capital toward DATs. Funds that might have otherwise been directed to early-stage startups were increasingly diverted toward treasury strategies that provide immediate liquidity.
Regulatory Changes Anticipated To Boost Institutional Interest
Looking forward, the analysts expect a rebound in institutional crypto flows in 2026, which could be spurred by the anticipated passage of additional regulatory measures, such as the Crypto Market Structure Bill (CLARITY Act) in the US.
This anticipated legislation is expected to further entrench institutional adoption of digital assets, along with renewed institutional engagement in areas like venture capital funding, mergers and acquisitions, and initial public offerings (IPOs).
However, the expected markup of this bill has been delayed late on Wednesday, as crypto industry leaders, including the cryptocurrency exchange Coinbase (COIN), have withdrawn their support for the legislation.
This is attributed to issues related to key provisions, which the firm’s CEO, Brian Armstrong, has described as making this version “materially worse than the current status quo”.
The daily chart shows BTC’s price inching closer to regaining the key $100,000 milestone. Source: BTCUSDT on TradingView.com
At the time of writing, the market’s leading cryptocurrency, Bitcoin, was trading at $96,050, having recorded gains of 10% over the previous fourteen days, as broader inflows have already returned to the market since the beginning of the year.
Featured image from DALL-E, chart from TradingView.com
Strategy, formerly known as MicroStrategy, the largest public holder of Bitcoin (BTC), finds itself at the center of a stormy controversy involving JPMorgan as Bitcoin prices continue to struggle.
With signs of a potential bear market emerging, fresh rumors suggest that one of the world’s largest banks allegedly holds a significant short position on Strategy’s stock (MSTR), which has plunged 69% from its record high of $543 per share last year.
Strategy Faces Potential MSCI Exclusion
The turmoil escalated last week when JPMorgan issued a warning that Strategy might soon be removed from major equity indices, specifically the MSCI USA Index.
JPMorgan’s analysts noted that the issues facing Strategy extend beyond the recent downturn in cryptocurrency prices, which have seen Bitcoin fall more than 30% from its all-time highs.
As of this writing, Bitcoin is trading around $86,000, while the broader crypto market has experienced a staggering $1 trillion decline in total market capitalization over the past month.
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JPMorgan’s analysts indicated that MSCI is considering whether companies with over 50% of their total assets in digital currencies should qualify for inclusion in traditional equity indices. Given that Strategy’s balance sheet is heavily weighted with Bitcoin, it is at significant risk of exclusion.
The analysts stated that “MicroStrategy [is] at risk of exclusion from major equity indices as the January 15th MSCI decision approaches.” They speculated that removal from the MSCI could trigger approximately $2.8 billion in outflows, and if other index providers follow MSCI’s lead, the total could reach as high as $8.8 billion.
The situation is complicated by market dynamics, particularly the timing of JPMorgan’s bearish note, which coincided with Bitcoin’s weakness and MSTR’s decline, all while liquidity was thin and overall sentiment fragile.
JPMorgan Faces Account Closures Surge
According to analysts at the Bull Theory, JPMorgan has been noted for timing its market reports—bearing down when prices are already weak and striking a more bullish tone near market peaks.
The analysts have highlighted that share lending for MSTR has reportedly increased, allowing brokers to lend shares to short sellers, which can exacerbate downward pressure on the stock price.
Additionally, there are escalating reports of widespread account closures at JPMorgan, with thousands claiming to have exited due to perceived manipulation of both MSTR and Bitcoin.
Amid these developments, the fear of a potential short squeeze is growing. The analysts believe that if Strategy’s stock were to rally around 40% to 50%, it could trigger a short squeeze in the bank’s position and spell major financial troubles.
In response, Michael Saylor, the CEO of Strategy, has sought to clarify the company’s identity, emphasizing that it is not just a passive Bitcoin holder. He pointed out that Strategy operates as a software business with an active financial strategy, countering the narrative circulating around MSCI’s concerns.
As the situation unfolds, several key points emerge. The October 10th crash appeared to align with the MSCI announcement, coinciding with an already fragile market state. JP Morgan’s strategic timing of its bearish insights has amplified existing fears, creating further uncertainty as MSCI’s final decision looms.
The daily chart shows MSTR’s valuation trending downwards, trading below $170. Source: MSTR on TradingView.com
Featured image from DALL-E, chart from TradingView.com
Crypto analyst PlanB has explained why the Bitcoin price may never drop below $100,000 again. This comes as market participants continue to speculate on whether the flagship crypto could fall below this psychological level if a full-blown bear market were to occur.
Bitcoin Price Has Likely Turned $100,000 Into Support
PlanB stated in an X post that he will not be surprised if the Bitcoin price does not drop below $100,000 again as the market witnesses the $100,000 resistance turn into $100,000 support. The analyst further noted that the September close was the fifth consecutive monthly close above that psychological price level.
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PlanB stated that the same thing happened when the Bitcoin price was trading at $10,000, $1,000, $100, and $10. The analyst’s remarks came as he noted that 63% of people think that Bitcoin will drop below $100,000. Notably, there were more calls for a drop below $100,000 towards the end of September when BTC dropped to as low as $108,000. Crypto influencer Ansem was among those who predicted that the flagship crypto would likely retest $90,000.
However, the Bitcoin price has since staged a remarkable comeback from the $108,000 lows, rallying to a new all-time high (ATH) above $126,000 to start the month. As a result, BTC is already up 7% to start the month, with October notably the flagship crypto’s second-best performing month after November, based on historical data.
It is worth noting that the Bitcoin price has traded above $100,000 since May 8 and has now been above this psychological level for over 150 days, its longest streak. Meanwhile, market participants are currently betting that it will likely stay this way. According to Polymarket data, there is only a 25% chance that BTC will drop below $100,000 by the end of this year.
BTC Bull Market Still On
Crypto analyst Titan of Crypto declared that the crypto market is still on and questioned why market participants were in a rush to call the top. The analyst noted that the Stoch Relative Strength Index (RSI) crossovers keep aligning with strength. He added that the chart will tell them when the bull run is over, but for now, that is not the case.
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In another analysis, Titan of Crypto revealed that the Bitcoin price continues to print higher highs and higher lows. Based on this, he raised the possibility that BTC could rally to as high as $160,000 by the end of the year. This aligns with predictions by JPMorgan and Standard Chartered, which predict that BTC can reach $165,000 and $200,000, respectively, by year-end.
At the time of writing, the Bitcoin price is trading at around $122,000, up in the last 24 hours, according to data from CoinMarketCap.
BTC trading at $121,768 on the 1D chart | Source: BTCUSDT on Tradingview.com
Featured image from Pixabay, chart from Tradingview.com
Qatar National Bank (QNB) has started using JPMorgan’s Kinexys payments platform for US dollar corporate flows, bringing on-chain settlement to clients in the country. According to JPMorgan, the move went live in March 2025.
QNB Adopts Kinexys For USD Flows
Based on reports, the Doha lender will now be able to move US dollar payments around the clock, removing the usual business-hour cutoffs that delay transfers.
The system operates 24/7 and can settle some transfers in as little as two minutes, a speed level that banks say shortens what used to take days.
For JP Morgan, Kinexys (the unit that grew out of its earlier blockchain work) is being rolled out more widely across the Middle East and North Africa.
QNB, one of the largest financial institutions in the Middle East, has switched to JPMorgan’s blockchain platform for US dollar corporate payments processed by its Qatar-based bank https://t.co/lixFy7R2Qb
The bank says eight of the region’s largest lenders are now live on the platform, with QNB and Saudi National Bank named among them.
That wider uptake is being framed as an effort to give corporate treasuries faster, programmable payment options across corridors that previously suffered from timing and liquidity friction.
Reports have disclosed that clients can expect fewer reconciliation headaches and a clearer view of funds as they move between accounts.
Banks on Kinexys can create “programmable” payment flows — for example, payments that trigger only after a condition is met — which can shorten manual steps in trade and treasury operations.
The platform also claims to preserve full payment amounts until they reach beneficiaries, reducing the chance of unexpected deductions.
Momentum In The Region
The QNB announcement follows similar moves by other institutions earlier this year that used Kinexys to expand anytime dollar clearing.
In March 2025, for instance, India’s Axis Bank began offering 24/7 US dollar clearing with JPMorgan — a sign that banks in different markets are testing the same capability for corporate customers.
While the speed gains are clear in promotional materials and press coverage, several operational details remain thin in public disclosures.
Despite that, QNB’s step into Kinexys highlights a shift in regional banking, as Qatar’s biggest bank joins JPMorgan’s blockchain payment network.
Featured image from Coin-Update, chart from TradingView
JPMorgan Chase’s wealthiest clients will now receive discounts and referrals on services from luxury travel to art restoration.
JPMorgan Private Bank announced on Tuesday that it is offering a new lifestyle program for its wealthy U.S. clients, providing access to services like booking private jets and hiring household staff. Services also include financial reporting programs, bill pay, and bookkeeping.
One service, for example, provides clients free access to Valerie Wilson Travel, a company JPMorgan acquired in 2022, for travel planning and advice. (JPMorgan did not name any other travel companies available through the network, but said that there was a wide range of firms offering exclusive services.) Another exclusive service involves maintaining and selling art collections.
For JPMorgan clients, there is no additional fee to tap into the new services, according to the press release. The new programming is part of a wider industry trend where private banks are expanding beyond traditional investment and financial guidance.
William Sinclair, co-head of J.P. Morgan Private Bank’s Global Family Office Practice, told CNBC that wealthy clients are increasingly seeking more than just financial advice from their advisors, including managing artwork collections and payroll management for household employees.
“There is a growing trend among clients who want our advice outside of traditional wealth management,” Sinclair told the outlet.
JPMorgan CEO Jamie Dimon. Photographer: Patrick Bolger/Bloomberg via Getty Images
Sinclair stated that the most requested services have been private jet travel, bill pay, and requests from business owners to help find health insurance plans for employees.
JPMorgan is also planning to add more features to the lifestyle service as it grows, Emily Margolis, head of JPMorgan Private Bank’s lifestyle services, told CNBC.
“We’re looking at physical security, insurance, more in-depth HR, areas that we see more requests,” Margolis told the outlet.
Expanding lifestyle services ties into JPMorgan’s overall strategy to grow as a bank. JPMorgan CEO Jamie Dimon talked about the company’s overarching growth plan and commitment to investments at the bank’s annual Investor Day in May.
“There’s a lot of competition,” he stated at the event. “You have to be prepared every day to make the investment you need to do in your people, your systems, your ops, your culture, and stuff like that to actually win.”
JPMorgan is also the largest U.S. bank with over $4.3 trillion in assets as of March 31. The bank had a market value of over $845 billion at the time of writing.
JPMorgan Chase’s wealthiest clients will now receive discounts and referrals on services from luxury travel to art restoration.
JPMorgan Private Bank announced on Tuesday that it is offering a new lifestyle program for its wealthy U.S. clients, providing access to services like booking private jets and hiring household staff. Services also include financial reporting programs, bill pay, and bookkeeping.
One service, for example, provides clients free access to Valerie Wilson Travel, a company JPMorgan acquired in 2022, for travel planning and advice. (JPMorgan did not name any other travel companies available through the network, but said that there was a wide range of firms offering exclusive services.) Another exclusive service involves maintaining and selling art collections.
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JPMorgan’s US trading desk is cautioning clients that a widely expected Federal Reserve rate cut on September 17 could mark a near-term peak for risk assets rather than a new leg higher—an outcome that would not spare crypto.
In a note flagged by desk head Andrew Tyler, the bank writes: “We have concerns that the September 17 Fed meeting which delivers a 25bp cut could turn into a ‘Sell the News’ event as investors pullback to consider macro data, Fed’s reaction function, potentially stretched positioning, a weaker corporate buyback bid, and waning participation from the Retail investor.”
The timing matters. The Fed’s next policy meeting runs September 16–17, with a statement and press conference scheduled for Wednesday, September 17. That calendar alone has become a catalyst as traders position around both the size of the cut and the tone of the guidance.
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Standard Chartered, pointing to a labor market that has cooled far faster than anticipated, now expects the Fed to deliver a 50-basis-point move. “August labor market data has paved the way for a ‘catch-up’ 50 basis point rate cut at the September FOMC meeting, similar to what occurred at this time last year,” the bank said, after US nonfarm payrolls rose by just 22,000 in August and the unemployment rate ticked up to 4.3%.
Steve Englander, global head of G10FX research at Standard Chartered, discusses the need for the Federal Reserve to cut rates by 50 basis points at the September meeting and why he would consider anything less to be a policy error https://t.co/TJQBGIytImpic.twitter.com/VP2rVusiA5
JPMorgan’s desk is not abandoning its “lower-conviction Tactical Bullish” stance, but it is urging investors to carry insurance into the event. In addition to recommending that equity investors “consider” adding or increasing gold exposure as cut expectations sap the dollar, Tyler’s team spelled out more explicit hedges for a volatility shock: “we like VIX call spreads or VXX longs as a hedge, as well as parts of Defensives.”
The macro backdrop has indeed turned more complicated. August payrolls barely grew and prior data were revised down, while the unemployment rate rose to a near four-year high, developments that have hardened expectations for policy easing but also raised the specter of a growth scare.
Meanwhile, gold has been screaming higher—printing successive record highs above $3,600/oz—as investors price both easier policy and broader political-economic risk. Those concurrent signals—weakening labor, stronger bullion—frame why a rate cut may not automatically equal “risk-on” for beta.
Crypto Faces Volatility Test
For crypto, the read-through is two-sided and highly path dependent. On one hand, the same jobs-driven repricing that has juiced gold has also supported bitcoin in recent sessions as traders lean into the idea of easier money and a softer dollar—classic tailwinds for risk assets and for store-of-value narratives alike.
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On the other hand, a mechanical “equities down, vol up” impulse around the decision would likely transmit into crypto assets, where cross-asset de-risking and margin unwinds have historically amplified intraday swings. That tension is visible in current coverage: bitcoin has bounced back toward the $112k area alongside rate-cut bets, yet several market observers warn that a run-of-the-mill 25bp move—especially if framed as a “hawkish cut”—may fail to spark a sustained crypto rally.
Notably, a “catch-up” 50bp cut, as Standard Chartered projects, would accelerate the compression in real yields and could weaken the dollar at the margin—conditions that have tended to support bitcoin and liquidity-sensitive altcoins when the move is not seen as recessionary triage.
Conversely, a smaller or caveated cut could deliver precisely the “sell the news” pattern JPMorgan warns about, with equities and high-beta assets like crypto marking lower first before reassessing the glide path. History is no lodestar—post-cut outcomes have ranged from strong rallies in mid-cycle adjustments to drawdowns when cuts presaged recession—but it does argue for elevated realized volatility around the first step.
An 80-hour workweek means working from 8:30 a.m. to 10 p.m. six days a week — not the norm for most Americans, who log an average of 34 hours per week.
But for some junior bankers on Wall Street, an 80-hour week maximum workweek will be a relief.
JPMorgan Chase is now instituting a limit to working hours after new investigations showed that junior investment bankers are putting in more than 100 hours per week.
Bank of America is also trying to enforce an 80-hours per week cap with a new time reporting tool, the Wall Street Journal reported on Wednesday, citing anonymous sources. The tool will reportedly roll out next week and ask junior bankers to log daily hours instead of weekly hours. It also asks for more detail about what the bankers are working on and which senior employees are managing them on each assignment.
The changes come after the death of 35-year-old Bank of America junior banker Leo Lukenas III earlier this year. Lukenas joined Bank of America in 2023 as an associate and passed away in May 2024 from a blood clot in his heart. Though the coroner’s report didn’t link the death to overwork, Lukenas had reportedly been working 110-hour weeks on a $2 billion acquisition for the bank and indicated before his death that he wanted to leave because of the long hours.
A WSJ investigation in August reported that Bank of America bosses routinely pressured junior bankers to lie about the number of hours they worked, circumventing policies implemented a decade ago after the death of an investment banking intern in Bank of America’s London office.
After the investigation, Bank of America asked junior bankers to go to higher-ups or human resources if managers overworked them. The new time reporting tool is also intended to make it harder for junior bankers to downplay how many hours they spend in the office and keep managers more accountable to the bank’s limits.
Goldman Sachs and Morgan Stanley still have no policy limits on how many hours analysts and associates can work, but Goldman has a “protected Saturday” policy that blocks out Friday from 9 p.m. to Sunday at 9 a.m. as time off.
A “new” TikTok trend claiming people could get free money from Chase Bank ATMs is nothing more than old-fashioned check fraud, the company says.
The trend involved depositing a check for a high amount and taking out most of the money before the check bounced. On Thursday, a post about the scam on X was viewed over 7.5 million times — and the trend eventually snowballed into lines forming at Chase Banks in New York.
A Chase spokesperson confirmed on Tuesday that the bank knows about the situation and has addressed it. Chase has now fixed the error, locked accounts that took advantage of it, and leveled negative balances with the label “DR DUE TO ATM/DEP ERROR.”
“Regardless of what you see online, depositing a fraudulent check and withdrawing the funds from your account is fraud, plain and simple,” the spokesperson stated.
While TikTok and other social media may have played a negative part in the Chase glitch trend by spreading the word, TikTok has been the site of less fraudulent personal finance trends — like the “pay off my debt” trend, which saw viewers uniting and watching each other’s videos to help each other pay off debt.
“We have to remember that financial stability is usually a long game,” Jake Burgett, the physician assistant student behind the trend, told Entrepreneur in June. “Social media gives the illusion of a quick financial fix, and I am glad I got to put that theory into motion… But remember not to sacrifice more than you are able to along the way.”
Analysts said concerns over economic growth will likely be the biggest factor leading up to another sell-off.iStock; Rebecca Zisser/BI
Last week’s market sell-off was potentially just a taste of what’s to come, JPMorgan says.
Growth concerns will likely be the next big trigger, analysts said.
The market this week is back in the Goldilocks zone after a handful of encouraging data points.
The abrupt sell-off that sparked the stock market’s worst loss in two years might have been a preview of what’s to come, according to JPMorgan.
Analysts at the bank said the combined worries of decelerating economic growth and the carry trade unwind were too much for the market to handle at once.
Since then, though, the stock market has clawed back all of its losses and found itself basking in the glow of positive economic updates this week, leading many on Wall Street to conclude the event was an overreaction to a momentary blip in the data.
“Many market participants are dismissing the recent blowup of various crowded trades as a fluke or flash crash, but we see it as more of a dress rehearsal for what’s to come,” JPMorgan analysts said in a Thursday note.
The sell-off this month came as US unemployment jumped, and accelerated as the Japanese market sank 12.4% in its biggest fall since “Black Monday” in 1987. An unwind of the so-called yen carry emerged as the big culprit rocking global equities.
Investors had borrowed yen at low rates in Japan for the last two years, leaving them flailing and rushing to sell to meet margin calls after the Bank of Japan’s surprise rate hike.
While massive, the analysts predict that carry trade concerns won’t be the trigger of future volatility, as many investors aren’t likely to rush back into the strategy after getting caught off-guard this month.
“The carry trades could eventually become a problem again, but with investors getting burned, not everyone will be reinstating these trades, so it ought to be more difficult to hit the old highs,” the analysts said.
“Instead, we see the reemergence growth risk as the likely trigger,” they added.
David Kelly, chief global strategist, JPMorgan Asset ManagementJPMorgan Asset Management
The Fed has caught some heat for its role in the latest stock market sell-off.
Kelly says the Fed needs to broadcast its confidence in the economy to soothe jittery markets.
JPMorgan’s David Kelly told Business Insider he sees a possibility for even deeper losses following the big rout.
Stocks are up on Tuesday, but investors are still rattled from a historic three-day global sell-off sparked by a confluence of weak US data and a surprise rate hike in Japan.
In the US, the bloody market rout should be the Federal Reserve’s cue that it needs to do more to help investors feel confident about the economy as they weather this period of extreme volatility.
That’s according to David Kelly, chief global strategist of JPMorgan Asset Management, who told Business Insider in an interview during Monday’s tumuly that the Fed should broadcast a strong message to markets that the situation is in hand.
“I think what they should say is, we’ve expected the economy is going to see a slowdown. That’s what we’re seeing here. We do stand ready to cut rates as appropriate but we don’t think there’s a very urgent situation here,” Kelly said.
Some commentators have called for emergency rate cuts after the massive sell-off. However, Kelly says he doesn’t think such a move would be constructive because cutting rates so quickly reduces interest income, which causes investors to lose out on the current high yields on the $6 trillion sitting in money market funds.
More importantly, cutting rates abruptly would potentially instill more fear about the economy among investors, Kelly said.
On Monday, US stock indexes tanked, with the Dow Jones falling over 1,000 points and the Nasdaq Composite tumbling more than 3%. In global markets, Japan’s Nikkei 225 dropped 12.4% in its biggest single-day decline since the 1987 Black Monday crash, while European markets also dropped.
The selloff prompted some investors to break out the recession playbook, investing in defensive stocks, dividend-paying shares, and government bonds while selling high-flying growth stocks tied to popular trades like AI.
Kelly said one of the big problems is that the Fed should have never kept rates so high for as long as it did.
“The Federal Reserve should always, I think, aim to get back to neutral and stay there. They shouldn’t try and overshoot into a tightening policy, or even an easing policy to try and stimulate the economy.”
In short, by waiting too long to cut rates, the Fed allowed the job market to weaken, which partly caused the panic that set off the multi-day market plunge.
But even cutting rates at the last policy meeting would not have been a quick fix that would have prevented the surge in volatility, and rate cuts, similar to rate hikes, have a lagged effect on the economy.
“I think people just don’t get that. And I don’t think the Federal Reserve tells people that, or maybe they don’t appreciate it themselves,” Kelly said, adding, “It’s a drag before it’s a stimulus.”
Kelly thinks that the economy will most likely continue to slow, and a recession is possible, as is a steeper stock correction.
“A 10% correction, or a 20% drop with the bear market, is absolutely possible,” he said. “If you’re an investor, the problem is this you don’t know when it starts.”
JPMorgan Chase CEO Jamie Dimon appeared on “This is Working” with LinkedIn Editor-in-Chief Dan Roth on Thursday to discuss the future of the financial workplace, including his opinion on how AI will alter work as we know it.
Though business leaders and CEOs differ in their sentiments regarding the technology, Dimon is all in.
“I think people should stop talking about it. It’s huge, and what we do is we’ve embedded all of our businesses,” the CEO said, estimating that JPMorgan would be increasing its number of AI projects by 400 each year. “It is unbelievable for marketing, risk, fraud. It’ll help you do your job better, so, huge productivity tool.”
Dimon said he believed AI would eliminate jobs at JPMorgan, especially in customer service, but also noted it should add jobs too, making it a “net net” investment.
Dimon told investors then that the technology was “increasingly driving real business value” across a slew of projects that spanned areas of marketing, fraud, and risk and that though the usage of such technology might lead to a reduction in “certain job categories or roles”, JPMorgan plans to “aggressively retrain and redeploy” employees if affected by incoming changes to their field or positions by AI.
“While we do not know the full effect or the precise rate at which AI will change our business — or how it will affect society at large — we are completely convinced the consequences will be extraordinary,” he wrote.
JPMorgan Chase had a strong Q2 2024, with earnings reaching $18.15 billion at a 25% year-over-year increase and revenue that jumped 20% to $50.99 billion.
Dimon’s net worth as of Friday afternoon was an estimated $2.3 billion.
A stock rally unwinding could come with no warning, JPMorgan’s Dubravko Lakos-Bujas said in a webinar.
Concentration is so high that if one large fund begins pulling out, it could trigger a broad market fallout.
Cracks are already showing as Apple and Tesla stocks slide.
The equity rally that’s taken stocks on a five-month tear could rupture with no warning, Dubravko Lakos-Bujas said in a JPMorgan webinar on Wednesday.
Though it’s unclear when this could happen, extreme market crowding has positioned stocks for a sharp correction, the bank’s chief global equity strategist warned.
“You might not need a catalyst, it can just come one day out of the blue and this has happened in the past, we’ve had flash crashes,” he said.
“One big fund starts de-levering some positions, a second fund hears that and tries to re-position, third fund basically gets caught off guard, and the next thing you know, you start having a bigger and bigger momentum unwind,” Lakos-Bujas said as an example.
Not only is this a grim outlook for heavily-concentrated tech large caps, but it would mean broader market fallout, he added, as the success of top equities, such as Nvidia, is a driver of wider rally.
As investors continue chasing big, quality names, cracks in this high-momentum trade are already showing, he said, pointing out Apple and Tesla’s slide. Though both firms belong to the leading “Magnificent Seven” stock cohort, they have both dropped 11.9% and 30.69% year-to-date.
According to Lakos-Bujas, the level of crowding seen today has only been reached three times since the 2008 crash, often preceding a correction.
“Whenever you had such a high degree of crowding it was a question of, maybe not days, but a question of weeks, or a month or two before the momentum factor faced a big fat left tail unwind,” he said.
To account for this, he urged investors to begin diversifying their trades, and avoid being caught on the “wrong side” of any coming correction.
Despite optimism about Bitcoin’s future trajectory heading into the Bitcoin Halving, analysts at JPMorgan have raised concerns that things may not go according to everyone’s expectations. They believe that a storm still lies ahead for the flagship crypto token before any massive move to the upside.
Further Bitcoin Pullbacks Are To Be Expected
According to a Bloomberg report, JPMorgan strategists have warned that Bitcoin could still experience further pullbacks following its recent decline. They alluded to the recent net outflows recorded by the Spot Bitcoin ETFs, which underscored the current bearish sentiment in the Bitcoin ecosystem.
These strategists, led by Nikolaos Nikolaos Panigirtzoglou, also highlighted the sustained open interest in CME Bitcoin futures as another bearish signal for Bitcoin’s price. They further argue that Bitcoin “still looks overbought” and expect further price dips leading up to the Halving event in mid-April.
Meanwhile, these JPMorgan analysts emphasized the decline in net inflows into Spot ETFs, noting that this proves that a sustained one-way net inflow is not possible. Therefore, they expect investors in these funds to keep taking profits heading into the Bitcoin Halving. This wave of profit-taking is also more likely, considering that Bitcoin “still looks overbought despite the past week’s correction.” they claimed.
This recent research note by JPMorgan further reaffirms their bearish sentiment towards Bitcoin’s price despite the flagship crypto exceeding expectations. Last month, the bank predicted that Bitcoin could drop to as low as $42,000 after April as “Bitcoin-halving-induced euphoria subsides.”
Naeem Aslam, chief investment officer at Zaye Capital Markets, also echoed JPMoragn’s sentiments when he suggested that Bitcoin’s recent rally didn’t show enough strength. Aslam believes Bitcoin could fall below $50,000 if the Halving event “fails to really keep the momentum going.”
What Could Happen After The Halving Event
Crypto trader and analyst Rekt Capital recently provided insights into what could happen after the Havling event while elaborating on the four phases of Bitcoin Halving. According to him, there is usually a re-accumulation period after the Halving, which could last for up to five months.
During this period, he noted that many investors get “shaken out in this stage due to boredom, impatience, and disappointment with lack of major results in their BTC investment in the immediate aftermath of the Halving.” Rekt Capital added that this time could be different since it is the first time this re-accumulation could develop around the new all-time high (ATH) area.
Therefore, he believes this “Re-Accumulation Range may simply take the shape of a regular sideways range and may not last very long before additional uptrend continuation.”
Featured image from Crypto News, chart from Tradingview.com
Disclaimer: The article is provided for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.
(Bloomberg) — Two major Wall Street firms are recommending investors start buying five-year US notes after they saw their worst rout since May last week.
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Morgan Stanley sees scope for a rebound in Treasuries on expectations data in the coming weeks may surprise to the downside. JPMorgan is suggesting investors buy five-year notes as yields have already climbed to levels last seen in December, though it warned that markets are still too aggressive in pricing for an early start to central bank interest-rate cuts.
“This is ‘the dip’ we have been looking to buy,” analysts including Matthew Hornbach, global head of macro strategy at Morgan Stanley, wrote in a note dated Jan. 20. “With less fiscal support and much colder weather, we see downside risks to US activity data delivered in February.”
Five-year US yields climbed 22 basis points last week, the most since the period to May 19, as traders slashed bets on interest-rate cuts from the Federal Reserve this year. Sustained pushback from central bank officials, along with healthy data on retail sales, sent the odds of a March reduction tumbling to nearly 40% on Friday. The market is now expecting five quarter-point cuts from the Fed this year, after looking for six-to-seven reductions on Jan. 12.
The next set of auctions of Treasury debt, including two-, five- and seven-year notes, are slated to begin on Tuesday, setting the stage for upward pressure on yields for those segments of the market.
The bond market also faces risks with the first reading of US fourth-quarter gross domestic product on Thursday, expected to mark the strongest back-to-back quarters of growth since 2021. The Fed’s preferred gauge of underlying inflation is due Friday and is forecast to show an 11th straight month of waning annual price growth.
The data may end up reinforcing the potential that the Fed achieves its avowed aim of a soft landing. While that should allow policymakers to deliver interest-rate cuts this year, Treasuries have been whipsawed by the potential that an easing cycle will start later and proceed more slowly than previously expected.
JPMorgan expects the first Fed cut to come in June, rather than the May move, which is now fully priced in by swaps contracts. Morgan Stanley sees central banks in both the US and Europe to be in focus in mid-March and sees markets pricing in at least one rate cut by northern hemisphere spring for most central banks.
JPMorgan analysts, while maintaining an overall cautious stance on the cryptocurrency market, foresee Ethereum (ETH) surpassing Bitcoin (BTC) and other digital currencies in market price performance by 2024.
This bullish outlook for Ethereum reflects a distinctive perspective within the institution, suggesting that the analysts see unique potential and favorable prospects for Ethereum relative to other digital assets, even amid an overall cautious sentiment towards the broader crypto landscape.
In a published note on Wednesday, a team of analysts headed by Nikolaos Panigirtzoglou conveyed their expectation that Ethereum (ETH) will reclaim its prominence and regain market share within the cryptocurrency ecosystem in the upcoming year.
“We believe that next year Ethereum will re-assert itself and recapture market share within the crypto ecosystem,” Panigirtzoglou wrote in a note.
The analysts underscored the pivotal role of the EIP-4844 upgrade, popularly known as Protodanksharding, as the primary catalyst for Ethereum’s anticipated resurgence.
This crucial upgrade, scheduled for implementation in the first half of 2024, is poised to bring about substantial improvements in Ethereum’s network activity.
Danksharding is a more efficient sharding method for Ethereum, and protodanksharding is the first step toward its complete implementation. Danksharding sidesteps the tedious procedure of dividing Ethereum into several shard chains, as contrast to the initially intended sharding method.
ETH market cap currently at $273 billion. Chart: TradingView.com
Data blobs, which are connected to blocks and can hold more data than blocks but are not permanently stored or accessible by the Ethereum virtual engine, are instead introduced.
Meanwhile, JPMorgan’s optimistic forecast aligns with Standard Chartered’s, as they previously stated in a communication that Ether might experience a 400% surge within a few years, followed by a more sustained upward movement towards $35,000.
Geoff Kendrick, the Head of FX Research, West, and Digital Assets Research, expressed the viewpoint that the upward trajectory for Ether might unfold at a more gradual pace compared to Bitcoin.
Ethereum Price Prediction: 5x Increase
Despite this potentially more extended timeframe, Kendrick envisions Ethereum eventually attaining a higher price multiple than Bitcoin relative to their current levels. Specifically, he anticipates Ethereum reaching a price multiple of 5.0x, surpassing Bitcoin’s expected 3.5x multiple.
Layer 2 networks, such as Optimism (OP) and Arbitrum (ARB), would gain the most from the upgrade, according to the JPMorgan analysts.
Ether seen rising to $2,426 this month. Source: Coincodex
Layer 2 networks on Ethereum would benefit from the increased temporary data space, which would increase network throughput and decrease transaction fees. Data blobs improve Layer 2 network efficiency without changing the size of an Ethereum block.
In the meantime, as ether discovers new applications, demand for it will rise, and cryptocurrency-related trends will only grow. For example, the most common Ethereum use case is NFT transactions, which Kendrick believes will grow.
At the time of writing, Ether was trading at $2,281, up 5.0% in the last 24 hours, while Bitcoin was exhanging hands at $42,910, with a 2.3% increase in the same timeframe.
Featured image from Pixabay
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Binance founder CZ must stay in US until sentencing, judge orders
Binance founder Changpeng “CZ” Zhao has been ordered to stay in the United States until his sentencing in February, with a federal judge determining there’s too much of a flight risk if the former crypto exchange CEO is allowed to return to the United Arab Emirates. On Dec. 7, Seattle District Court Judge Richard Jones ordered Zhao to stay in the U.S. until his Feb. 23, 2024 sentencing date. He faces up to 18 months in prison after pleading guilty to money laundering on Nov. 21 and has agreed not to appeal any potential sentence up to that length.
House committee passes bill to ‘preserve US leadership’ in blockchain
A United States Congress committee has unanimously passed a pro-blockchain bill, which would task the U.S. commerce secretary with promoting blockchain deployment and thus potentially increase the country’s use of blockchain technology. The act covers an array of actions the commerce secretary must take if passed, including making best practices, policies and recommendations for the public and private sector when using blockchain tech. The bill will now go to the House for a vote. If passed, it must also pass in the Senate before returning for final congressional and presidential approval.
SEC pushes deadline to decide on Grayscale spot Ether ETF
The United States Securities and Exchange Commission has delayed its decision on whether to approve or reject a spot Ether exchange-traded fund (ETF) offering from asset manager Grayscale. In a notice, the SEC said it would designate a longer period for considering a proposed rule change that would allow NYSE Arca to list and trade shares of the Grayscale Ethereum Trust. Grayscale first filed with the SEC to convert shares of its Grayscale Ethereum Trust into a spot Ether ETF in October, adding its name to the list of companies awaiting a decision from the regulator.
Elon Musk’s xAI files with SEC for private sale of $1B in unregistered securities
Elon Musk’s X-linked artificial intelligence modeler, xAI, has an agreement for the private sale of $865.3 million in unregistered equity securities, according to a filing with the United States Securities and Exchange Commission made on Dec. 5. The company is seeking to raise $1 billion. XAI’s product, a chatbot called Grok, has recently rolled out to X’s Premium+ subscribers. Musk announced the launch of xAI in July and claimed its goal was to “understand the universe.”
Bitcoin new high set for late 2024, Binance to lose top spot — VanEck
Bitcoin will hit a new all-time high in late 2024 because of a long-feared United States recession and regulatory shifts after the next U.S. presidential election, asset manager VanEck predicts. The firm is confident that the first spot Bitcoin ETFs will be approved in the first quarter of 2024. However, it also made a gloomy prediction for the general U.S. economy. VanEck is among several firms, including BlackRock and Fidelity, that are vying for an approved spot Bitcoin ETF. VanEck also believes that the BTC halving, due in April or May, “will see minimal market disruption,” but there will be a post-halving price rise.
Winners and Losers
At the end of the week, Bitcoin (BTC) is at $44,402, Ether (ETH) at $2,364 and XRP at $0.66. The total market cap is at $1.65 trillion, according to CoinMarketCap.
Among the biggest 100 cryptocurrencies, the top three altcoin gainers of the week are Bonk (BONK) at 203.10%, ORDI (ORDI) at 134.34% and BitTorrent (BTT) at 114.32%.
The top three altcoin losers of the week are Maker (MKR) at -6.48%, UNUS SED LEO (LEO) at -6.22% and Kaspa (KAS) at 4.98%.
“It takes a community and the whole industry to figure out how to better educate people. That’s the hard part. It’s not a technology issue; it’s an operational problem.”
In a post on X (formerly Twitter) on Dec. 7, entrepreneur Alistair Milne noted that should current performance continue, Bitcoin will witness a crossover of two weekly moving averages (MAs), which have never delivered such a bull signal before.
The 50-week and 200-week MAs are key trendlines for Bitcoin traders and analysts alike. The latter is the ultimate bear market support level, and it has so far never decreased in value.
BTC price strength is on the way to taking the 50-week MA trendline above the 200-week counterpart. Known as a “golden cross,” on lower timeframes, this is considered a classic bullish signal, and for Milne, the impetus is that considerable upside could be in store should the phenomenon play out.
“The 50-week moving average will now soon cross back above the 200-week MA making a ‘golden cross’ for the 1st time. QED: Early bull market,” he wrote.
FUD of the Week
Crypto is for criminals? JPMorgan has been fined $39B and has its own token
JPMorgan Chase CEO Jamie Dimon is being criticized by the crypto community after claiming Bitcoin and cryptocurrency’s “only true use case” is to facilitate crime. However, according to Good Jobs First’s violation tracker, JPMorgan is the second-largest penalized bank, having paid $39.3 billion in fines across 272 violations since 2000. About $38 billion of these fines came under Dimon’s watch, who has been CEO since 2005.
British regulator adds Justin Sun-linked Poloniex to warning list after $100M hack
The United Kingdom’s Financial Conduct Authority (FCA) has added crypto exchange Poloniex to its warning list of non-authorized companies. The Seychelles-based exchange is one of the three companies owned by or affiliated with entrepreneur Justin Sun that have suffered four hacks in the last two months. The warning to Poloniex was published on the FCA’s website on Dec. 6. It doesn’t offer a reason but says that “firms and individuals cannot promote financial services in the UK without the necessary authorization or approval.”
US senators target crypto in bill enforcing sanctions on terrorist groups
A bipartisan group of lawmakers in the United States Senate introduced legislation aimed at countering cryptocurrency’s role in financing terrorism, explicitly citing the Oct. 7 attack by Hamas on Israel. The bill would expand U.S. sanctions to include parties funding terrorist organizations with cryptocurrency or fiat. According to Senator Mitt Romney, the legislation would allow the U.S. Treasury Department to go after “emerging threats involving digital assets.”
Lawmakers’ fear and doubt drives proposed crypto regulations in US
If the Digital Asset Anti-Money Laundering Act were to become law, many cryptocurrency providers would have to learn how to comply with the same regulations as traditional financial institutions.
Expect ‘records broken’ by Bitcoin ETF: Brett Harrison (ex-FTX US), X Hall of Flame
JPMorgan analysts have cast a skeptical eye over the recent crypto rally, indicating it may be built on sand rather than solid ground. Their latest report conveys a guarded stance, suggesting that the market’s exuberance may be outpacing the underlying fundamentals.
As the market’s enthusiasm swells, fueled by pivotal developments such as the US Securities and Exchange Commission’s (SEC) potential green light of the spot Bitcoin exchange-traded fund (ETF), these financial experts are urging caution, advocating a closer examination of the elements at play.
A Closer Look At ETF Approval And Regulatory Battles
Within the crypto sphere, JPMorgan analysts disclosed that two significant events have captured investor interest and driven prices upward.
These events include anticipating a US-approved spot Bitcoin ETF, which has ignited hopes of new capital inflows. At the same time, recent legal tussles involving the SEC have raised expectations for a more permissive regulatory environment.
However, the JPMorgan team, led by analyst Nikolaos Panigirtzoglou, presents a contrarian view, deconstructing these drivers and their probable impact on the market. They argue that an ETF approval would usher in fresh capital, which might be misleading.
The analysts propose that rather than attracting new investment; the approval could redirect existing funds from current Bitcoin investment products into the new ETFs. The JPMorgan team noted:
First, instead of fresh capital entering the crypto industry to be invested in the newly-approved ETFs, we see as a more likely scenario existing capital shifting from existing bitcoin products such as the Grayscale bitcoin trust, bitcoin futures ETFs and publicly listed bitcoin mining companies, into the newly-approved spot bitcoin ETFs.
This shift, they assert, would not necessarily expand the market’s capital base. JPMorgan’s team points to the tepid response to similar products in Canada and Europe as evidence, suggesting that a US spot Bitcoin ETF might encounter the same lukewarm reception.
Legal victories against the SEC in high-profile cases like Ripple and Grayscale are also interpreted as potential precursors to a regulatory softening. Yet, the analysts remain unconvinced, citing the lingering aftereffects of the FTX scandal and the inherent risks of an under-regulated market.
They further disclosed that these factors will likely keep the regulatory tightening trend intact, with little room for significant easing.
Bitcoin Halving: A Pre-Priced Crypto Event?
The report delves into the much-discussed Bitcoin halving, which traditionally stokes bullish forecasts. However, JPMorgan’s analysts believe the market has already factored in the halving’s supply-squeeze implications. They noted:
This argument seems unconvincing as the Bitcoin halving event and its effect are predictable and in our opinion are well factored into Bitcoin price.
They calculate that based on current data, the production cost of Bitcoin post-halving should double, particularly from the current $ $21,000 to $43,000.
Their analysis concludes with a sobering outlook, anticipating a potential “buy the rumor, sell the fact” scenario post-ETF approval. Such a dynamic could see prices climb on anticipation and plummet once the event materializes, a pattern familiar to seasoned market observers.
Echoing similar sentiments, financial commentator Peter Schiff has cast doubt on the longevity of Bitcoin’s price surges driven by ETF speculations.
Schiff warns that post-approval, Bitcoin might face a shortage of positive triggers, potentially culminating in a market sell-off as the ‘buy the rumor, sell the news’ phenomenon unfolds.
How many times can #Bitcoin rally on the same ETF rumor? Once a U.S. Bitcoin EFT is approved, or $GBTC is able to convert into an ETF, there will be no more “good” news for Bitcoin to rally on. After years of buying the rumor, everyone will finally be able to sell the news.
Meanwhile, Bitcoin has seen quite a significant move in the past few hours. The asset has now marked a new high for 2023, surging above $37,000, up by nearly 10% in the past day.
BTC’s price is moving sideways on the 4-hour chart. Source: BTC/USDT on TradingView.com
Featured image from Unsplash, Chart from TardingView
Traders work on the floor of the New York Stock Exchange (NYSE) on June 01, 2023 in New York City.Spencer Platt/Getty
The stock market’s latest rally is set to fizzle, according to JPMorgan’s Marko Kolanovic.
He highlighted a number of looming concerns for investors, from valuations to higher-for-longer interest rates.
“We believe that equities will soon revert back to an unattractive risk-reward,” Kolanovic said.
Last week’s stock market rally is about to fizzle, according to JPMorgan’s chief global markets strategist Marko Kolanovic.
The S&P 500 surged 6% last week, representing its strongest weekly gain of the year. The jump was driven in part by a cooler-than-expected October jobs report that sent bond yields plunging. But Kolanovic isn’t buying it because of a barrage of risks that are starting to converge.
“We believe that equities will soon revert back to an unattractive risk-reward as the Fed is set to remain higher for longer, valuations are rich, earnings expectations remain too optimistic, pricing power is waning, profit margins are at risk and the slowdown in topline growth is set to continue,” he said.
On top of that, the idea that bad news for the economy is good news for the stock market is extremely precarious, as a further deterioration in economic data could sound the alarms that an economic recession is imminent.
“It is difficult to distinguish between a healthy slowdown and the initial stages of recession without the benefit of hindsight,” Kolanovic said.
Markets currently expect the Federal Reserve to keep rates steady until the spring, when a cut rather than a hike is being priced in.
While stock market investors would like to see interest rates drop, the reason behind any potential cut is what matters the most.
A Fed that is easing monetary policies because inflation has been tamed and the economy remains solid would be bullish for stocks, whereas the Fed cutting interest rates because of a weakening economy would be bearish.
“As the Fed is set to remain higher for longer at the short end, markets could start to price in a policy mistake, leading to lower long yields down the line, and that might not ultimately be helpful for stocks, especially if 2024 earnings projections start to reset lower,” Kolanovic said.
Major U.S. banks including Morgan Stanley and JPMorgan Chase & Co. announced dividend increases late Friday, in the wake of the results of the Federal Reserve’s latest bank stress tests earlier this week.
JPMorgan JPM, +1.40%
said it plans to raise the bank’s dividend to $1.05 a share, up from $1 a share, for the third quarter, subject to board approval.
The stress tests “show that banks are resilient — even while withstanding severe shocks — and continue to serve as a pillar of strength to the financial system and broader economy,” JPMorgan Chief Executive Jamie Dimon said in a statement.
“We continue to maintain a fortress balance sheet with strong capital levels and robust liquidity,” Dimon added.
Morgan Stanley MS, +0.19%
said it will increase its quarterly dividend to 85 cents a share from the current 77.5 cents a share, beginning with its third-quarter dividend. The bank also said that its board reauthorized a multiyear share buyback totaling as much as $20 billion, without an expiration date, beginning in the third quarter.
“The results of the Federal Reserve’s stress test demonstrate the durability of our transformed business model. We remain committed to returning capital to our shareholders and are raising our dividend by 7.5 cents,” Chief Executive James P. Gorman said in a statement.
Wells Fargo WFC, +0.54%,
for its part, said it will increase its dividend to 35 cents a share, up from 30 cents a share, subject to board approval. It said it has the capacity to undertake a share buyback, “which will be routinely assessed as part of the company’s internal capital adequacy framework that considers current market conditions, potential changes to regulatory capital requirements, and other risk factors,” without elaborating further.
Goldman Sachs Group Inc. GS, -0.17%
said it would raise its dividend, to $2.75 a share from $2.50 a share, starting July 1.
Citigroup Inc. C said its board had approved an increase in its quarterly dividend to 53 cents a share, from 51 cents, also for the third quarter.
Citi Chief Executive Jane Fraser said that, while the bank “would have clearly preferred not to see an increase in our stress capital buffer, these results still demonstrate Citi’s financial resilience through all economic environments, including the severely adverse scenario envisioned in the Federal Reserve’s stress test.”
Citi’s “robust capital and liquidity position, as well as the diversification of our funding and our business model, allow Citi to continue to be a source of strength for our clients and navigate challenging macro environments securely,” Fraser said.
The bank bought back $1 billon in shares in the second quarter and will continue to evaluate its capital actions, the chief executive said. “We are completely committed to simplifying Citi, improving returns and delivering value to our shareholders.”
Shares of Morgan Stanley and Wells Fargo rose 1.5% and 0.1%, respectively, in the after-hours session after ending the regular trading day up a respective 0.2% and 0.5%. JPMorgan shares edged up 0.2% in the extended session after closing 1.4% higher on Friday. Citigroup shares were up 0.2%, while Goldman’s were largely unchanged.
Where’s Elon? That’s what government officials in the Virgin Islands want to know.
On April 28, they tried to serve Tesla and Twitter CEO Elon Musk a subpoena for documents as part of a court case involving accused sex offender Jeffrey Epstein and mega-bank JPMorgan Chase. But the billionaire was nowhere to be found.
“The Government contacted Mr. Musk’s counsel via email to ask if he would be authorized to accept service on Mr. Musk’s behalf in this matter but did not receive a response confirming or denying his authority,” officials said in a court filing earlier today at the United States District Court for the Southern District of New York.
According to CNN, the Virgin Islands government has had so much trouble tracking down Musk they’ve had to hire an investigative firm.
Musk isn’t being accused of any crimes. But the Virgin Islands attorney general’s office wants him to share “all communications between Musk and JPMorgan regarding Epstein or any role the disgraced financier played in the Tesla CEO’s financial management,” said CNN.
The Musk subpoena is the latest move in a high-stakes lawsuit filed by the government of the U.S. Virgin Islands against JPMorgan Chase. The territory alleges that the bank “turned a blind eye” to evidence that Jeffrey Epstein used JPMorgan to ease sex-trafficking activities on his private island, Little St. James, until his suicide in 2019.
The complaint says that its investigation “revealed that JPMorgan knowingly, negligently, and unlawfully provided and pulled the levers through which recruiters and victims were paid and was indispensable to the operation and concealment of the Epstein trafficking enterprise.”
JPMorgan Chase has denied any wrongdoing and said it will vigorously defend itself against the lawsuit.
What does any of this have to do with Elon Musk? According to Reuters, Musk may have introduced Epstein to his contacts at JPMorgan. Now the Virgin Islands wants to understand the nature of their relationship better.
At press time, Musk had not responded to requests for comment.
