Wall Street Giants Signal Crypto Recovery as JPMorgan and Bank of America Upgrade Market Outlook
A wave of institutional endorsement from top Wall Street investment houses is bolstering confidence across the cryptocurrency ecosystem, even as major digital tokens trade in a narrow range ahead of an upcoming U.S. Supreme Court ruling regarding federal tariffs.
Bank of America boosted its rating on crypto exchange operator Coinbase to a buy recommendation. Analysts at the financial institution highlighted improving regulatory clarity—supported by evolving oversight standards from federal bodies such as the U.S. Securities and Exchange Commission—alongside accelerating adoption among institutional investors and stronger long-term revenue predictability. The upgrade reflects a broader shift as traditional brokerage firms increasingly incorporate digital assets into their core client offerings.
In another major institutional move, Morgan Stanley announced plans to launch a proprietary digital wallet later this year. The platform is scheduled to support tokenized real-world assets, including equity in private corporations. Investment banks have aggressively pursued asset tokenization to streamline trade settlements and broaden investor participation in private equity markets. Meanwhile, market strategists at JPMorgan reported that early-year downward pressure on digital assets is waning, indicating that the recent price sell-off in Bitcoin and Ethereum may be reaching a bottom as market leverage normalizes.
Top cryptocurrencies registered muted price action amid macroeconomic caution linked to the Supreme Court tariff deliberation. Bitcoin edged up 1 percent to $90,300, while Ethereum climbed 13 percent to $3,090. Solana advanced 3 percent to $138, and XRP added 1 percent to reach $2.10. Selected altcoins posted larger gains, led by an 11 percent rally in Polygon, an 11 percent rise in Zcash, and a 7 percent advance in Syrup.
On the network infrastructure side, Ethereum completely cleared its validator exit queue, resolving backlog bottlenecks that had previously impacted liquid staking platforms and delayed withdrawal processing for node operators. Concurrently, Polygon Labs launched its Open Money Stack framework to streamline commercial stablecoin settlement. The development firm is also reportedly in advanced negotiations to acquire Coinme, one of the largest Bitcoin ATM networks in the United States.
Political and legal developments also factored into market sentiment. Lawmakers in Florida renewed state-level efforts to establish a government Bitcoin reserve, following a growing trend among U.S. states evaluating strategic digital asset stockpiles. On the executive side, Donald Trump publicly stated he will not grant a presidential pardon to FTX founder Sam Bankman-Fried, who is currently serving a 25-year federal prison sentence following his conviction for the 2022 collapse of the trading platform.
