JP Morgan analyst Nikolaos Panigirtzoglou said this week that continuing price stability in the cryptocurrency markets could help contribute to renewed institutional investor interest. Appearing on Tuesday’s CNBC Futures Now, Panigirtzoglou predicted that the current lack of interest is probably temporary:
"The stability that we are seeing right now in the cryptocurrency market is setting the stage for more participation by institutional investors in the future. The cryptocurrency market was a new market. It went through a bubble phase [and] the burst."
At the end of last year, Panigirtzoglou had noted that many financial firms appeared to be losing interest in Bitcoin and other digital currencies. His more recent comments suggest that he expects that trend to reverse itself as blockchain proves its value and regulators become more adept at providing sound oversight for the industry.