Around 70% of institutional investors believe bitcoin is undervalued when it trades between $85,000 and $95,000, according to Coinbase’s Charting Crypto Q1 2026 report.

The report said a survey of 75 institutional investors and 73 independent investors, conducted from early December to early January, found 71% of institutions and 60% of independent investors “feel that [Bitcoin] is undervalued.”

Price range and drawdown

Coinbase said about a quarter of institutions viewed bitcoin as fairly valued during the survey period, when price largely stayed within the $85,000 to $95,000 band.

Just 4% said bitcoin was overvalued.

Bitcoin was trading around $87,600 at the time of the report, down more than 30% from its October all-time high of $126,080.

That decline followed an Oct. 10 market crash that wiped out more than $19 billion in leveraged positions.

How institutions say they would respond

Coinbase said 80% of institutional investors would either hold their positions or buy more if the bitcoin market fell another 10%.

More than 60% said they have held or increased exposure since October, when bitcoin set its current peak.

The report also said 54% of institutions view the current cycle as being in an accumulation phase or a bear market.

Macro backdrop and sentiment

Coinbase warned geopolitical escalation, especially disruptions to energy markets, could weigh on sentiment.

The report noted gold hit a record above $5,000 and silver has doubled since October, while the S&P 500 rose about 3%.

Coinbase also said it expects the Federal Reserve to deliver two rate cuts in 2026.

It added that consumer inflation was 2.7% in December and real GDP growth was over 5% in the fourth quarter.