Bitcoin’s Fair Value Is $170K, JPMorgan Argues in Gold-Based Model

JPMorgan analysts project that Bitcoin (BTC) could reach a fair value of $170,000 within the next 6 to 12 months, significantly higher than its current valuation of around $102,000. The bank's forecast is based on Bitcoin's historical correlation with gold, asserting that it should represent two-thirds of gold's investment base. Currently, Bitcoin's market cap is approximately $2.1 trillion, and to align with the estimated $6.2 trillion in private investment in gold, it needs to increase significantly. Recent market conditions indicate that the worst of deleveraging in crypto derivatives is over, setting the stage for potential price growth. Despite recent selloffs driven by liquidations in perpetual futures, retail investors are increasingly turning to Bitcoin as an attractive alternative amid rising gold volatility. This projection is described as a mechanical calculation rather than driven by market sentiment, indicating a structured approach to valuation rather than speculative beliefs.

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