JPMorgan: Meme and AI-Related Tokens Outperform Overall Cryptocurrency Market on 'Animal Spirit' Indicator

The spot bitcoin ETF attracted $1.3 billion in new investor funding in the first two days of the week, bringing its inflows for the entire month of October to $4.4 billion, making it the third-largest month of net inflows since the spot bitcoin ETF came to market in January, J.P. Morgan analyst Nikolaos Panigirtzoglou said in a report on Nov. 2 this week. Meme stocks and AI-related tokens also outperformed the overall cryptocurrency market in another measure of retail investors' “animal spirits”.

The concept of “animal spirits” was coined by economist Keynes, who emphasized the impact of investor sentiment and psychological factors on the market, arguing that the stock market is driven by investor confidence and expectations. When investor confidence increases, the stock market usually performs better; when investor sentiment is low, the stock market may fall.