A recent analysis by JPMorgan reveals Bitcoin's status in the context of its volatility and institutional demand.
Decline in Bitcoin Volatility
According to JPMorgan analysts, Bitcoin's six-month rolling volatility has decreased from nearly 60% to about 30%, marking its lowest level on record. This makes Bitcoin’s volatility just twice that of gold, the narrowest margin ever observed.
Valuation and Growth Potential
JPMorgan estimates that Bitcoin should be valued around $126,000 per coin, approximately 13% higher than its current trading price near $112,000.
Institutional Investment Outlook
Corporate treasuries currently hold more than 6% of Bitcoin’s circulating supply, showing the growing role of institutional investors in the market. These changes indicate that Bitcoin is becoming more attractive for long-term investment portfolios.
With decreasing volatility and increasing support from institutional investors, Bitcoin is increasingly viewed as a long-term store of value, approaching gold in its status as a safe asset.
