Banking giant JPMorgan has surprised the markets with a bold prediction: Bitcoin is expected to outperform gold in the second half of 2025. According to the bank’s analysts, rising institutional interest and a maturing derivatives market are key drivers behind the anticipated surge. After months of lagging behind, Bitcoin appears to be regaining momentum.
JPMorgan sees growing institutional demand for Bitcoin
Nikolaos Panigirtzoglou, lead strategist at JPMorgan, believes institutional investors are increasingly allocating capital to Bitcoin. The bank highlights companies like Strategy and its imitators, which continue to accumulate BTC. This signals rising confidence in Bitcoin as a digital alternative to gold.
JPMorgan also points to the rapid development of the crypto derivatives market. A broader offering of regulated futures and options allows professional investors to gain exposure to Bitcoin without directly holding the asset. This reduces barriers to entry and boosts overall market liquidity.
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Although Bitcoin has underperformed gold for much of 2025, JPMorgan sees signs of a shift. A recent BTC rally and easing tensions between the U.S. and China triggered a sharp correction in gold prices. As a result, Bitcoin is starting to reclaim its position as “digital gold.”
Strategists at Fidelity, including Jurrien Timmer, have also suggested that gold may soon pass the torch to its digital counterpart. With Bitcoin currently trading above $103,000, the flagship crypto is stronger than ever in its role as a store of value.
