Bitcoin (BTC) is poised to outshine gold

Bitcoin is poised to outshine gold for the remainder of 2025, according to a new forecast by analysts at JP Morgan.

A new forecast by analysts at JP Morgan predicts that Bitcoin will significantly outshine gold for the remainder of 2025.

What Happened: The analysts, led by managing director Nikolaos Panigirtzoglou, observed a shift in investor sentiment where the traditional "debasement trade," typically associated with gold, is being absorbed by Bitcoin.

"Between mid-February and mid-April gold was rising at the expense of bitcoin, while of the past three weeks we have been observing the opposite," the analysts stated. They explained that this "zero-sum game" dynamic between the two assets is likely to continue, but that crypto-specific catalysts are expected to further tilt the balance in favor of Bitcoin.

This thesis is supported by recent market movements, with the gold price decreasing nearly 8% and Bitcoin surging 18% since April 22.

This shift is also evident in investor behavior, with funds flowing out of gold ETFs and into Bitcoin investment vehicles. Additionally, futures positioning data showcases a marked decline in gold exposure and a corresponding increase in interest in Bitcoin.

Furthermore, U.S. state-level legislation enabling direct investment in Bitcoin and rising corporate treasury allocations to the asset are fueling Bitcoin's momentum.

"In the US, state-level legislation is opening up opportunities for traditional money managers to invest directly in BTC, while at the same time, more and more companies are planning to allocate a portion of their treasury assets to crypto-assets," the analysts added.

Corporate moves by firms such as Strategy, which plans to raise $84 billion for Bitcoin investments by 2027 and has already achieved 32% of that goal, are bolstering this trend.

The analysts also noted a maturing crypto derivatives ecosystem, signaled by recent acquisitions. Coinbase's acquisition of Deribit, Kraken's purchase of U.S. futures platform NinjaTrader, and Gemini obtaining a European derivatives license all indicate greater regulatory oversight and infrastructure development.

These factors are likely to attract more institutional investors seeking exposure to crypto assets under familiar compliance frameworks. The report stated:

"The crypto derivatives universe is maturing and by coming under US or EU regulations it could induce confidence and greater participation by traditional institutional investors."

Crypto Price Predictions: According to CoinCodex's crypto price predictions, Bitcoin is expected to perform significantly better than gold by year-end.

CoinCodex's gold price forecast predicts that the metal will reach $3,853 per ounce by the end of 2025, indicating an 18.4% increase from its current level of $3,253.

In contrast, the Bitcoin price prediction forecasts a more substantial rise to $145,000, reflecting a 40% increase from BTC's current price of $103,800.

This anticipated outperformance highlights the growing momentum behind Bitcoin as both a macro hedge and a high-growth asset class, increasingly favored over traditional safe havens like gold.

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