JPMorgan analyst Nikolaos Panigirtzoglou believes that Bitcoin has the potential to become a more attractive asset than gold in the long term, despite current market difficulties.
This is reported by Business • Media
Current Situation in the Bitcoin Market
Amid rising gold prices, Bitcoin has experienced a significant decline. After reaching a record high of around $126,000 in October 2025, its value dropped to $65,000, losing over 40%. During the same period, gold increased in price by nearly a third, raising doubts among investors about Bitcoin’s ability to serve as a safe-haven asset.
According to JPMorgan, the current price of Bitcoin has fallen below the estimated cost of production, which is around $87,000. Panigirtzoglou emphasized that the exit of unprofitable miners from the market could lead to a further natural decline in this figure.
An additional negative factor has been the prolonged outflow of investments from spot Bitcoin ETFs, reflecting a growing pessimism among both retail and institutional investors.
Long-Term Prospects and Growth Potential
In its analytical review, JPMorgan notes changes in the volatility ratio between Bitcoin and gold. This ratio has now decreased to 1.5, which is historically low and indicates a convergence of the risk profiles of both assets.
“Considering the volatility, JPMorgan’s strategist suggested that Bitcoin’s market capitalization should rise to an equivalent of about $266,000 per coin. This would allow it to match private sector investments in gold, which are estimated at approximately $8 trillion, excluding central bank reserves.”
However, the analyst notes that achieving such a price is unlikely in the near term. Nevertheless, if negative market sentiment decreases and Bitcoin begins to be perceived again as a capital protection tool similar to gold, the cryptocurrency could have significant growth opportunities.
It was previously reported that U.S. pension fund investments in Strategy fell by 60% due to Bitcoin’s decline. This further underscores the impact of the cryptocurrency’s volatility on financial markets.