The Seventh Edition of JPMorgan’s e-Trading Edit asked 835 Institutional Traders about their plans for Trading digital assets in 2023, among different Topics.
According to a Survey conducted by JP Morgan, an Incredible 72 percent of institutional e-traders don’t plan to Trade Digital coins in the Foreseeable Future.
The Seventh Edition of JPMorgan’s e-Trading Edit surveyed 835 traders from 60 different “global locations” about the technical developments and macroeconomic factors that will impact trading performance in 2023. The survey was conducted between Jan. 3 to Jan. 23, 2023.
There was hesitation among traders around digital assets.The majority of respondents said they will either trade in the digital asset market or start trading this year.
The remaining 14% of respondents, said they didn’t plan on investing this year however may do as such inside the following five years.
92% of the institutional traders Surveyed by JPMorgan didn’t — at the hour of the survey — have any exposure to the digital asset market in their investment portfolio at the hour of the Survey.
This may be due to the fact that almost half of the respondents cited volatile markets as the biggest test to perform well on an everyday basis.
The quantitative fixing measures imposed by the United States Federal Reserve in 2022 may have played a factor too, with 22% citing liquidity accessibility concerns as the most powerful factor impeding trading performance.
The survey results come only months after investor and trader sentiment in the cryptocurrency market plunged following the catastrophic collapses of the Terra LUNA Ecosystem and Trading platform FTX in 2022.
In another JPMorgan survey, 30% of respondents cited recession risk as the most powerful macroeconomic factor to pay special attention to, while 26% accept inflation will most impact trading outcomes.
It should be noted that trading typically refers to jumping all through stocks or assets inside the space of weeks, days and even minutes with the aim of short-term profits, while investors have a longer-term outlook.
Last year, an institutional investor survey sponsored by Crypto exchange Coinbase found that 62% of institutional investors had invested in the digital asset market from November 2021 to late 2022, seemingly undeterred by the prolonged Crypto winter.
A recent report in June 2022 also found that 71% of high-net-worth individuals (HNWI) have proactively invested in Cryptocurrencies, while numerous others are embracing longer-term strategies rather than Trading on an everyday basis.
In a Separate finding, the Survey found that 12% of traders saw blockchain technology as the most compelling technology to shape the eventual Fate of Trading, compared to 53% for artificial intelligence (artificial intelligence) and AI Related Technologies.
These Figures are as a conspicuous difference to 2022’s Survey, where Blockchain Technology and computer based intelligence each received 25% of all votes.