Full Capitulation’ Could Mean A $800 Billion Crypto Earthquake As Price Predictions See Bitcoin, Ethereum, BNB, XRP,…

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Bitcoin BTC and cryptocurrency prices have rocketed higher this week, climbing along with stock markets that have bounced from their June lows even amid warnings of a potential “crisis on the horizon.”

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The bitcoin price has added more than 20% over the last week (despite crypto traders being branded “insane”) and helping the ethereum price surge by almost 50% as excitement around its radical upgrade grows. Other top ten coins BNB BNB , XRP XRP , solana, cardano and dogecoin also surged.

Now, after JPMorgan revealed a $160 billion bitcoin price bombshell, a closely watched Bank of America BAC survey of investors who oversee almost $800 billion in assets revealed the stock market could be close to “full capitulation.”

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Investor expectations have tumbled to their lowest on record, according to Bank of America’s monthly survey of just under 260 global fund managers, with stock allocation collapsing to levels not seen since the 2008 global financial crisis—shortly before markets surged back.

“Second half 2022 fundamentals are poor but sentiment says stock/credit rally in coming weeks,” the bank’s analysts wrote in a note seen by Bloomberg and adding its survey indicated the market is now at “max bearish,” suggesting a turnaround could be on the cards.

The bitcoin and crypto market has traded in close proximity to the stock market through 2022, with the bitcoin price especially mirroring high-growth tech stocks and the tech-heavy Nasdaq.

This week, after a record 73 days in the “extreme fear” zone, bitcoin sentiment as measured by the Crypto Fear and Greed Index climbed to merely “fear.”

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“After waves of capitulation in May-June 2022 … signals of a potential bottom forming have emerged,” Alex Kuptsikevich, FxPro senior market analyst, wrote in an emailed note.

Meanwhile, market watchers remain focused on the U.S. Federal Reserve, which will hold its July interest rate decision meeting next week and is expected to again hike rates by 75 basis points as policymakers try to drive down soaring inflation.

“The price of bitcoin unexpectedly recovered its 200-week moving average and seems like it is building the groundwork for a trend reversal but the market needs a little more assurance for deceleration in the pace of rate hike by the Fed,” Yuya Hasegawa, a market analyst at Bitbank, wrote in an emailed note adding the “short-term outlook for bitcoin is bullish and [the bitcoin price] could go as high as around $29,000 this week.”