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Bitcoin vs Gold : Why JPMorgan Thinks Bitcoin is Undervalued

Bitcoin vs Gold : JPMorgan says Bitcoin is trading cheap compared to Gold as its volatility drops to historic lows. Learn why BTC could see more upside and what it means for Indian investors.


Introduction: Bitcoin vs Gold – The New Dangal?

When it comes to investments in India, we often hear: “Beta, gold mein paisa lagao, safe hai”. Gold has always been the favourite safe-haven for Indian families. But now, Bitcoin (BTC) is slowly stepping into the same ring. According to a recent research report by JPMorgan, Bitcoin is actually looking undervalued compared to gold, thanks to its falling volatility.


What Did JPMorgan Say?

  • Bitcoin’s 6-month volatility has dropped from 60% in January 2025 to around 30% now – the lowest ever recorded.
  • This means BTC’s volatility is now only double that of gold, which is the smallest gap in history.
  • With such stability, JPMorgan believes Bitcoin is becoming more attractive for big institutional investors (think mutual funds, pension funds, and corporate treasuries).

👉 You can check more about Bitcoin volatility trends here: CoinMarketCap – BTC Data.


How Much Could Bitcoin Be Worth?

According to JPMorgan’s analysis:

  • On a volatility-adjusted basis, Bitcoin’s market cap should ideally be 13% higher to match gold’s \$5 trillion private investment value.
  • That means Bitcoin’s fair value could be around \$126,000 – which is roughly ₹1.05 crore per BTC (at today’s exchange rate).
  • Right now, BTC is trading undervalued by about \$16,000 (~₹13.5 lakh), giving it plenty of upside potential.

Why Institutions Are Interested

JPMorgan also pointed out that corporate adoption is rising fast:

  • Big companies are adding Bitcoin to their balance sheets, just like Indian families add gold during weddings and festivals.
  • Example: Metaplanet (Japan) was recently included in FTSE Russell’s mid-cap index, thanks to its Bitcoin holdings.
  • Nasdaq-listed Kindly MD (NAKA) is planning to raise up to \$5 billion, after already buying \$679 million worth of Bitcoin.
  • Even firms like Adam Back’s company are entering the scene, competing with big names like MARA Holdings and Michael Saylor’s MicroStrategy.

📌 For a detailed look at companies buying Bitcoin, you can explore Bitcoin Treasuries List.


What This Means for Indian Investors

Let’s be real – in India, gold will always be close to our hearts (and lockers 😅). But if Bitcoin continues to stabilise and big institutions keep backing it, it might just become a strong parallel to gold as a store of value.

  • For long-term investors, Bitcoin could act like digital gold.
  • For young Indians, it’s becoming a way to diversify investments beyond real estate, stocks, and FDs.
  • Of course, crypto is still high risk, and regulations in India are evolving (check RBI’s stance here). So always do your research before investing.

Final Thoughts

JPMorgan’s report gives a strong signal: Bitcoin is no longer just a “risky gamble.” With volatility dropping and corporate adoption rising, it may be entering a new stable phase. For Indian investors, this could be a chance to look at Bitcoin not as a rival to gold, but as a digital brother of gold – ek naya option for wealth building.