- JPMorgan says Bitcoin is undervalued by $68K and is now more attractive than gold.
- BTC slides below $101,000 as job cuts, weak stocks and ETF outflows weigh on sentiment.
- Fed cut odds rise to 69%, but uncertainty keeps Bitcoin near the key $100K level.
On Thursday, Bitcoin fell below $101,000, sliding about 2.4% as risk assets broadly retreated.
The world’s largest cryptocurrency mirrored weakness in U.S. equities, with the S&P 500 and Nasdaq 100 pressured by renewed economic and labor-market concerns.
New data from outplacement firm Challenger, Gray & Christmas showed more than 153,000 job cuts in October, the highest for that month since 2003.
“October’s pace of job cuts was much higher than the monthly average,” said Andy Challenger, the firm’s chief revenue officer.
The fresh data added to investor unease, particularly because the ongoing U.S. government shutdown delayed official employment reports. Analysts warned the gloomy readings could prompt the Federal Reserve to consider further rate cuts to support the economy.
“The economy may need additional interest-rate cuts from the Federal Reserve,” wrote trading-analysis firm The Kobeissi Letter on X, calling the current backdrop “a new era of monetary policy.”
However, not all market watchers are convinced the Fed will move again in December.
Singapore-based trading firm QCP Capital cautioned that a rate cut at the next meeting “is not guaranteed,” noting markets are only pricing in roughly a 60–65% chance of the move.
According to CME Group’s FedWatch tool, investors currently assign about a 69% probability to a 25-basis-point cut in December.
QCP added that a prolonged policy pause could keep the U.S. dollar firm and credit conditions tight—factors that typically weigh on Bitcoin and other risk-sensitive assets.
Institutional outflows weigh on Bitcoin sentiment
Beyond macro concerns, Bitcoin is also facing headwinds from weakening institutional demand.
QCP Capital highlighted continued outflows from U.S. spot Bitcoin exchange-traded funds, totaling nearly $900 million in the first three days of the week.
The firm called the $100,000 level a key psychological threshold, noting that any stabilization of ETF flows could quickly shift sentiment—provided no new macro shocks emerge.
Market participants remained cautious, with many traders eyeing a potential retracement toward the CME Group Bitcoin futures “gap” near $92,000 as a possible support area.
Despite short-term weakness, JPMorgan analysts see a long-term opportunity in the recent pullback.
JPMorgan: Bitcoin now undervalued versus gold
In a note cited by MarketWatch, JPMorgan analyst Nikolaos Panigirtzoglou and his team argued that Bitcoin has become more attractive than gold following the latest correction.
The bank’s research suggested that Bitcoin was about $36,000 “too expensive relative to gold” at the end of last year, but now appears roughly $68,000 “too cheap.”
The assessment marks a notable tonal shift for the investment bank, which historically treated Bitcoin as a speculative asset.
The analysts said Bitcoin’s relative undervaluation could make it appealing to investors seeking alternatives to traditional safe-haven assets.
Although institutional outflows have dampened momentum in recent weeks, JPMorgan’s valuation provides a bullish counterpoint, implying the cryptocurrency may have entered oversold territory versus its long-term benchmarks.
With Bitcoin trading around the $100,000 threshold, market participants will watch whether renewed institutional demand or more accommodative monetary policy can reignite the crypto rally in the coming weeks.