Did you ever think one of Wall Street’s biggest banks would admit Bitcoin is “too cheap”? Here’s where it gets crazy: In August 2025, JPMorgan stunned the financial world by declaring that, thanks to a massive plunge in Bitcoin’s volatility, the king of crypto is now undervalued compared to gold. What does this mean? The numbers don’t lie | let’s dive into the wildest story in finance right now.
Remember the days when Bitcoin’s swings gave investors whiplash? Just six months ago, BTC volatility hovered around 60% | now it’s dropped to a record low of 30%. The chaos is cooling, and Bitcoin is suddenly only twice as volatile as gold | the smallest gap ever. So what’s changed?
Reader question: Did you ever imagine Bitcoin could become the “safe play” for big investors?
Here’s the part that has crypto Twitter buzzing: JPMorgan’s analysts used gold as a benchmark, comparing Bitcoin’s risk profile to the $5 trillion gold private investment market. Their volatility-adjusted model says:
Plot twist: JPMorgan isn’t claiming Bitcoin should be as valuable as all gold (including jewelry and central bank reserves). They’re strictly talking about the investment-grade gold market. Still, the implication is huge: Bitcoin may be trading at a discount right now.
Here’s where it gets even crazier. Bitcoin’s transformation has forced Wall Street to rethink everything:
As Bitcoin starts acting more like gold, investors and corporate treasuries see a hedge against inflation, risk, and geopolitical shocks. Is Bitcoin the digital gold everyone hyped up years ago?
Reader question: Do you think Bitcoin can actually become more stable than gold in the next decade?
Market commentators are running with JPMorgan’s headline. Analyst Joe Consorti says if Bitcoin ever matched gold’s entire market cap, the price would rocket to $1.17 million per coin — yes, you read that right! If both assets keep growing at current rates, “parity” could arrive in the early 2030s.
But caution! Veteran traders still warn of downside risks. Peter Brandt says Bitcoin must reclaim the $117,570 level, or risk a market crash. So, while the model points “up,” the market remains a rollercoaster.
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It wasn’t long ago that JPMorgan dismissed Bitcoin as a “dangerous fad.” But with corporate treasuries locking away coins as strategic reserves and ETF inflows stabilizing prices, the asset class is evolving rapidly.
The idea: less volatility means more predictable price action, attracting capital from risk-averse investors and pension funds.
As volatility sinks and institutional demand grows, the narrative around Bitcoin is changing. Wall Street’s endorsement isn’t just about price — it’s proof that mega-firms see Bitcoin as a serious part of future financial systems.
What’s your take? Is Wall Street’s embrace of Bitcoin changing your mind about crypto investing?
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Sources:
JPMorgan Drops a Bomb | Is Bitcoin Actually Undervalued? 🚀🧐 was originally published in Coinmonks on Medium, where people are continuing the conversation by highlighting and responding to this story.


