JPMorgan analysts released a report indicating Bitcoin (BTC) is set to gain traction versus gold in the latter half of 2025. This is due to rising corporate demand and US state support. The shift suggests a significant change in investment behaviors.
The report, led by Nikolaos Panigirtzoglou, notes a competitive dynamic in the "debasement trade." This is where investors seek refuge in gold and Bitcoin against fiat currency devaluation. Bitcoin is now the favored asset.
Since April 22, gold has dropped nearly 8%, while BTC has increased by 18%. This shift reflects capital moving from gold ETFs into Bitcoin. JPMorgan attributes this to gold's weakening and catalysts within the crypto space.
Strategy is on track to raise $84 billion for Bitcoin purchases by 2027, achieving 32% of that goal. Metaplanet's Bitcoin holdings surged to 6,796 BTC in Q1 FY2025, a 3.9x year-to-date increase. They added over 5,000 BTC in 2025 alone.
As of May 12, Metaplanet reported ¥13.5 billion in unrealized gains. Since adopting the BTC Treasury Standard, their net asset value in Bitcoin increased 103.1x. Their market capitalization grew 138.1x.
New Hampshire authorized using up to 5% of its reserves in Bitcoin. Arizona is set to establish a Bitcoin reserve, pledging no tax increases this year. More states adopting Bitcoin could sustain its growth.
Currently, BTC trades at $104,000, a 23% monthly price recovery. This results in nearly 60% year-to-date gains.
This article is based on our author's analysis of materials.