Bitcoin’s volatility needs to ease to prevent the token’s rally from fizzling, according to JPMorgan Chase & Co.

Unless swings recede rapidly, the current price of the largest cryptocurrency “looks unsustainable,” strategists led by Nikolaos Panigirtzoglou wrote in a note Tuesday.

Bitcoin has been barreling through records, scaling another peak above US$51,000 ($67,555) on Wednesday. Tesla Inc.’s recent US$1.5 billion purchase and MicroStrategy Inc.’s plan to expand its holdings of the token by selling US$600 million in convertible bonds added to the buzz around cryptocurrencies. On the flip side, some see a mania likely to end in a bust akin to the implosion in 2017.

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JPMorgan said Bitcoin’s market value has risen by about US$700 billion in the past five months despite an aggregate institutional inflow of only around US$11 billion. Limited supply of the token and retail demand may be pushing up prices, Panigirtzoglou wrote.

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“Movements since January this year appear to have been more influenced by speculative flows,” the team said.