Traders are flocking to buy bitcoins from major fintech companies, according to research from strategists at JPMorgan Chase, the leading US investment bank.
JPMorgan data shows that retail investors bought over 187,000 bitcoins this quarter using PayPal and Square.
Even retail investors are offshore buying units, according to JPMorgan analysts, who bought 173,000 BTC during the same period.
JP Morgan analyzed cash flows from retail platforms and corporate cars such as the Chicago Mercantile Exchange, as well as BTC announcements from large funds to communicate the findings.
Ed Moya, senior market analyst at Oanda Corp, explained in-depth social media activity, current NFT frenzy and incentive payments. He told Bloomberg:
“Now, with a huge chill of Reddit inventory driving Reddit, as well as innovations like digital art recording, retailers – some of them now armed with $ 1400 promotional coupons – are taking responsibility.”
He added that while meme trading has burned many retailers, Bitcoin remained highly optimistic and remained “bread and butter” during the pandemic.
Brian Wendig, head of MJP Wealth Advisors, pointed out that the retail order was triggered by fear of loss (FOMO) following the latest wave of institutional investment in bitcoin.
Data from cryptocurrency market unit Glassnode seems to confirm that retail investors did the right thing and sincerely. On March 15, Glassnode noticed a sharp increase in the company’s net growth in 2021 and added:
“This is a strong sign that new retail investors are entering the market.”