Catenaa, Wednesday, February 11, 2026- Bitcoin could reach $266,000 over the long term as it becomes more attractive than gold, even as crypto markets face near-term pressure from weak sentiment, according to analysts at JPMorgan.
The bank said crypto assets have come under strain over the past week as technology stocks declined and traditional hedges such as gold and silver also corrected. Investor confidence was further hit by a recent hack involving a Solana-based decentralized finance platform, adding to broader risk aversion across digital assets.
JPMorgan said bitcoin’s recent pullback has pushed prices below its estimated production cost, which it places near $87,000. Historically, that level has acted as a soft floor. Prolonged trading below production cost could force less efficient miners to exit, lowering network costs and resetting price dynamics.
Bitcoin was trading near $65,600, down nearly 10% over the past 24 hours, according to market data.
Despite near-term weakness, the analysts pointed to a stronger long-term case tied to bitcoin’s evolving role relative to gold. They said gold’s sharp outperformance since late last year and rising volatility have improved bitcoin’s appeal on a volatility adjusted basis. The ratio of bitcoin to gold volatility has fallen to record lows, making bitcoin comparatively more attractive.
Based on private sector investment in gold, excluding central bank holdings, JPMorgan said bitcoin’s market value would need to rise to levels consistent with a $266,000 price. The bank said the figure is not realistic for the current year but illustrates potential upside once sentiment improves.
The analysts added that recent liquidations and ETF outflows reflect caution, not a broad exit from crypto markets.
