The Bitcoin price has remained under pressure this week, trading around $112,000, with signs of a short-term correction.

But analysts at JPMorgan are saying otherwise. In a note on Thursday, Nikolaos Panigirtzoglou, a strategist at JPMorgan, noted that the current price of bitcoin is “too low” compared to gold as its volatility has collapsed to record lows.

The major development they see is the sharp drop in volatility. At the beginning of the year, Bitcoin volatility was around 60%, but it has now decreased to around 30%. In the report, the analyst predicted that Bitcoin should be valued at around $126,000.

Annualized BTC Volatility chart. Image Courtesy: theblock

The analyst wrote, “Expect that the allocations to Bitcoin by institutional investors could match those of competing asset classes such as gold if there is convergence in volatilities.” 

The major driver of the shrinking volatility has been Corporate treasury withdrawals, which have helped curb volatility and attract passive capital flows.

Heightening institutional demand for Bitcoin has increased the need for infrastructure projects. Despite its vast size, the largest cryptocurrency remains inefficient in expanding its ecosystem, unlike Solana and Ethereum. This is exactly what Bitcoin Hyper is addressing. The project is building the first layer-2 on Bitcoin and aims to expand the utility of its $2 trillion dormant capital.

Corporate Withdrawals Help Tighten Volatility In Bitcoin 

One of the key drivers behind the steady drop in Bitcoin’s volatility is the surge in corporate treasury accumulation. Data showed that over 6% of BTC’s total supply is staked with corporate treasuries. 

Over the past year, many companies have withdrawn their Bitcoin from circulation, reducing supply, lowering volatility, and supporting the price.

First they argue, then they complain now they fully onboard : @jpmorgan recent report, dated August 28, 2025, states that #Bitcoin is undervalued compared to gold, with its six-month rolling volatility dropping from 60% to a record low of 30%. Their volatility-adjusted models…

— MartyParty (@martypartymusic) August 28, 2025

The increasing legitimacy of these companies is driving more demand. Metaplanet, which currently holds 18,991 BTC, has been promoted to the FTSE Russell indices, resulting in its inclusion in the FTSE All-World Index. 

The JPMorgan analyst said this trend is “helping to make Bitcoin more attractive from a valuation point of view.”

And the accumulation is not stopping. Recently, Metaplanet announced plans to raise $1.2 billion for Bitcoin purchases and has set a target of holding more than 210,000 BTC by 2027. This strong demand shows that the long-term bullish outlook in crypto remains intact.

Bitcoin Price Forecast: Short-term

For the last few days, BTC has been consolidating in the $110,000-$113,000 range. At press time, it is trading at about $111,560, with a drop of 1.40% in the past 24 hours and similar stats in the weekly chart. The coin has dropped nearly 11% from its new all-time high of $124,128 earlier this month. 

Bitcoin chart. Image Courtesy: TradingView

Despite a bounce from the $110,000 support level, traders still lack confirmation on whether this reversal is genuine. The $110k support has been noted as a swing point, and if BTC can stay above this level, momentum could continue to the upside.

Technical indicators are showing mixed signals. The Relative Strength Index (RSI) remains at 42, which is well above the oversold zone, while MACD still trades below the base line, confirming that bears are still around. 

As short-term volatility persists, traders should watch these levels:

Bitcoin Hyper: Strong Fundamentals and Upgrade to Bitcoin Ecosystem

While Bitcoin price volatility takes center stage, the interest in the first-layer project, Bitcoin Hyper (HYPER), is exploding. This project is solving BTC’s core technical issues, such as slow speed and terrible scalability. 

BTC has long been seen as a store of wealth, and it has fulfilled that role remarkably well, becoming the world’s fifth-largest asset. However, the Proof-of-Work system makes its transactions slow and costly, and it also blocks the use of smart contracts on its chain. 

Enter Bitcoin Hyper: a project delivering lightning-fast speed, cheap transactions, and scalability features similar to Solana, without compromising Bitcoin’s security. It utilizes the Solana Virtual Machine (SVM) and zero-knowledge proofs to transform BTC from a passive store of value into an active Web3 asset.

Bitcoin Hyper’s Key Strengths:

• Solana Virtual Machine (SVM) support signifies diversification across various sectors

• 1:1 BTC bridge lets users easily move Bitcoin into the Bitcoin Hyper ecosystem

• Early APYs set at 88%

• Early-stage small-cap token – high upside opportunity

The Bitcoin Hyper presale is offering investors the opportunity to gain early access to HYPER tokens. The project has already raised $12.6 million, and tokens are available for just $0.01285, offering a huge upside when compared to established tokens.