JPMorgan Explains Why Bitcoin Has Lost Its “Digital Gold” Status
Date: 2025-04-04 Author: Oliver Abernathy Categories: CRYPTO PAYMENTS
According to the bank’s experts, physical gold is becoming the main instrument of protection against inflation and devaluation of fiat currencies. The cost of gold has exceeded $3,100 per ounce and continues to increase, while Bitcoin, demonstrating high volatility, is noticeably lagging behind in 2025.
The outflow of capital from spot Bitcoin ETFs has been ongoing for several months, indicating a decrease in investor interest in the cryptocurrency. In contrast, exchange-traded funds focused on physical gold are recording a stable inflow of capital. According to JPMorgan, total global investment in gold has reached an all-time high of $9 trillion, with $5 trillion coming from private equity funds and $4 trillion from central banks.
Analysts emphasize that Bitcoin will only be able to regain investor interest if it demonstrates sustainable growth, supported by fundamental rather than speculative factors. Currently, the cryptocurrency continues to experience pressure due to its volatility and lack of stable upward movement.
Earlier, Unlimited co-founder and former Bridgewater Associates top manager Bob Elliott also expressed doubts about the value of Bitcoin. In his opinion, the high volatility of the cryptocurrency against the backdrop of political tensions around the world makes it an unreliable asset.
