Breaking news! JP Morgan predicts that "Bitcoin will be stronger than gold in the second half of 2025!"
In the world of virtual currencies, new news pops up every day, so it's hard to take your eyes off it! This time, we'll explain the news that JP Morgan (a major financial institution representing the United States!), a major player in the financial industry, predicted that "Bitcoin will perform better than gold in the second half of 2025!" in an easy-to-understand way even for beginners.
Why did JP Morgan make such a prediction?
There seem to be two main reasons behind JP Morgan's prediction.
- Maybe more companies will buy Bitcoin?:Recently, many companies have started buying Bitcoin. If more companies start holding Bitcoin as a corporate asset, the value of Bitcoin could increase dramatically.
- US states support Bitcoin!?:Some states in the United States are creating laws to make Bitcoin easier to use and are starting to support Bitcoin-related businesses. If these trends spread, Bitcoin may become more familiar and its value may increase.
What does it mean for Bitcoin to be stronger than gold?
"Bitcoin will be stronger than gold" is, simply put,"The price of Bitcoin is more likely to rise than the price of gold"That's what I mean. Gold has long been known as a "safe asset" and is often bought when the world is unstable. However, JP Morgan believes that Bitcoin may be recognized as a "safe asset" in the same way as gold, or even more so.
For example, let's say you have $100 million and you invest half in gold and half in Bitcoin. If JP Morgan's prediction plays out, then by the second half of 2025, the $50 you invested in Bitcoin could potentially grow more than the $50 you invested in gold!
What is Bitcoin and how is it different from gold?
Just to be sure, let's briefly review Bitcoin and gold.
- Bitcoin:This is a virtual currency (cryptocurrency) that exists only on the internet. It is not issued by any country and is traded securely using a technology called blockchain.
- Gold: A precious metal that has long been considered valuable. It exists physically, is used in jewelry, and is held by countries to guarantee the value of their money (currency).
The main difference between Bitcoin and gold is"Whether it physically exists"AndWho guarantees the value?Gold can be touched, but Bitcoin is digital data. The value of gold is maintained by its rarity, beauty, and people's trust, but the value of Bitcoin is maintained by its technical mechanism (blockchain) and the network of people who use it.
What is blockchain?
Blockchain is the technology behind Bitcoin, and in simple terms"A highly secure digital ledger that is shared by everyone."It's like this. Transaction records are put into boxes called "blocks" and connected like a chain, so no one can arbitrarily rewrite or delete the records.
For example, let's say you and your friends write down the records of "who bought what" in a notebook and share it. If someone secretly rewrites the notebook, the other friends may not notice. However, if you use blockchain, everyone has the same notebook, and when you add a new record, everyone checks it, so it is impossible to make unauthorized changes!
Summary and personal thoughts
No one knows whether JP Morgan's prediction will come true. But it's very interesting news that a major global company has high hopes for the future of Bitcoin. The world of virtual currencies has only just begun. I'm excited to see how it will change from now on!
This article is based on the following original articles and is summarized from the author's perspective:
JPMorgan Forecasts Bitcoin to Outperform Gold in Second Half
of 2025