Weekly Digest: Bitcoin Drops Below $100K, Gains a Surprising Ally in JPMorgan
Bitcoin faced its toughest week since July, sliding below the $100,000 mark for the first time in months — yet the sell-off triggered an unexpected twist: JPMorgan, one of Wall Street’s biggest skeptics, turned bullish on the cryptocurrency.
The Crash That Shook the Market
On November 4, Bitcoin fell to $99,000 after breaching key support at $104,000. The move ignited over $1.7 billion in long-liquidations within 24 hours — one of the largest shakeouts of 2025. Analysts warned that the next technical target sits near $92,000, corresponding with an unfilled CME futures gap.
According to data from QCP Capital, the drop was largely driven by long-term holders taking profits and moving coins onto exchanges. CryptoQuant analysts noted that nearly 30% of wallets went underwater even before the $100,000 threshold, amplifying sell pressure. Ethereum mirrored the trend, dipping toward $3,000 — though several traders called it a “bear trap” before an expected rebound to $5,000.
JPMorgan’s Golden Turn
Amid the chaos, JPMorgan surprised the financial world by labeling Bitcoin “more attractive than gold.” Analyst Nikolaos Panigirtzoglou explained that BTC’s volatility relative to gold has fallen to 1.8 — below its long-term average of 2.0 — signaling maturation and undervaluation. The bank now estimates Bitcoin’s fair value at around $168,000, implying nearly $70,000 of upside from current levels.
“Bitcoin is undervalued at this stage of the cycle,” Panigirtzoglou said, suggesting that institutional adoption and reduced volatility make it increasingly competitive with traditional stores of value like gold. For the first time, a major bank’s research desk appears aligned with crypto-native analysts on long-term bullish potential.
Market Sentiment Shifts
Not everyone shares JPMorgan’s optimism. Galaxy Digital’s research team recently reported that Bitcoin has lost its “most popular investment” status for 2025, overshadowed by sectors like artificial intelligence, nuclear energy, and quantum computing. Yet even that perspective carries a silver lining — the broader diversification of capital signals that institutional investors still see crypto as a structural part of the future economy.
Meanwhile, ETF data reveals a growing retail and institutional appetite: 45% of surveyed investors plan to buy crypto ETFs — the same proportion considering traditional bond funds. This parity underscores a dramatic normalization of digital assets in mainstream portfolios.
The Takeaway
Bitcoin’s dip below $100K may mark the end of an overheated phase rather than the start of a collapse. As JPMorgan’s pivot shows, the narrative is shifting from speculation to legitimacy. The next chapter could see Bitcoin redefine what “safe haven” means in a world where even banks begin to believe in digital gold.
Editorial Team — CoinBotLab