Bitcoin is currently holding above $100,000, signaling its potential as a leading store-of-value asset. Fidelity Director Jurrien Timmer notes a convergence in the Sharpe ratios of Bitcoin and gold, suggesting both assets now have comparable risk-adjusted returns. In Q1 2025, gold outperformed Bitcoin, achieving a 30.33% price gain compared to Bitcoin's 3.84%, primarily due to ongoing economic uncertainty. Despite this, Bitcoin ETF inflows are recovering, with analysts predicting BTC could reach between $110,000 and $444,000 by the end of 2025. Timmer recommends a 4:1 gold-to-Bitcoin allocation due to their negative correlation. Bitcoin's high Sharpe ratio may lead it to new all-time highs as it thrives in various market environments. Recent developments, including improving US trade policies, have contributed to steady inflows into Bitcoin ETFs. Analysts believe Bitcoin's value could be significantly higher than its current trading level if projected trends continue, with estimates suggesting targets of $220,000 to $444,000.

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