A dramatic shift in Bitcoin‘s risk profile has led JPMorgan to a bold new price target of $165,000. The bank’s analysts note that the Bitcoin-to-gold volatility ratio has fallen below 2.0, meaning it now consumes less risk capital than before.
This change is pivotal. With the ratio at 1.85, JPMorgan’s model flips Bitcoin’s status from $36,000 overvalued at the end of 2024 to $46,000 undervalued today.
To close this gap and match the $6 trillion of private gold investment, Bitcoin’s market cap must expand by 42%, theoretically pushing its price to $165,000. The analysis provides a quantitative foundation for the ongoing “debasement trade” motivating retail investors.
