JPMorgan Chooses Bitcoin Over Gold
Analysis
Price Impact
MedJpmorgan's note favors bitcoin over gold due to an improved risk-reward profile and current price ($68k) being significantly below the estimated production cost ($87k), suggesting it is oversold. however, persistent outflows from bitcoin etfs are noted as a headwind.
Trustworthiness
HighJpmorgan is a major global financial institution, and their analysis is based on fundamental metrics like production cost and risk-reward, lending high credibility.
Price Direction
BullishThe analysis implies bitcoin is currently undervalued and oversold, with its price well below production cost, suggesting a potential bottom and significant upside. jpmorgan's long-term target of $170,000 for 2026 reinforces a bullish outlook despite short-term market struggles.
Time Effect
LongWhile the 'oversold' condition might suggest a short-term bounce, jpmorgan's $170,000 price target is for 2026, indicating a long-term bullish perspective.
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Cover image via U.Today Read U.TODAY on Google News Extremely oversold? Still bullish? Advertisement JPMorgan’s team of analysts has published a rather surprising note that favors Bitcoin over gold. They have cited an improved risk-reward profile for the leading cryptocurrency. Extremely oversold? The bank’s bullish thesis is mainly based on the difference between Bitcoin’s current price and the estimated production cost. HOT Stories Morning Crypto Report: XRP Officially Decouples From Bitcoin Amid $850 Million Bloodbath, Ripple's Main Japanese Ally to Launch Own Blockchain, Shiba Inu (SHIB) Eyes 26% Discount Thanks to Bear Market Mark Dow: I Want Bitcoin to Go to Zero The product cost, which currently stands at $87,000, typically acts as a soft floor for the price of the leading cryptocurrency. Advertisement Earlier today, however, the leading cryptocurrency collapsed to an intraday low of $68,068. You Might Also Like Tue, 02/03/2026 - 13:50 $561,810,000: Bitcoin ETFs Inject Fresh Capital Again By Caroline Amosun This essentially means that the cryptocurrency could be on the cusp of bottoming out. Advertisement JPMorgan has noted that Bitcoin's liquidations have been rather modest. At the same time, the bank's analysts did mention the persistent outflows recorded by Bitcoin exchange-traded funds (ETFs) as a possible headwind. Still bullish? As reported by U.Today , JPMorgan predicted that the leading cryptocurrency would surge to new record highs in 2026. It argued that BTC could reach $170,000 if it were to be valued like gold. It argued that the leading cryptocurrency had become "undervalued" against gold after underperforming throughout much of 2025. With Bitcoin now struggling to hold the $80,000 line, the gap between current reality and JPMorgan’s $170,000 target is widening. For the bank's prediction to hold true, Bitcoin would need to stage an unprecedented reversal and more than double in value in the remaining months of the six-month window. #Bitcoin Price Prediction