Quick Breakdown
- 71% of institutional investors say Bitcoin is undervalued between $85,000 and $95,000
- Most institutions plan to hold or buy dips, even if prices fall further
- Macro conditions and potential rate cuts could support crypto later in 2026
Nearly 70% of institutional investors believe Bitcoin is undervalued at current prices, even as the cryptocurrency continues to lag behind traditional assets like gold, silver, and equities, according to a new Coinbase report.
In its Charting Crypto Q1 2026 report, Coinbase revealed that 71% of institutional investors and 60% of independent investors surveyed view Bitcoin as undervalued when trading between $85,000 and $95,000. The survey, conducted between early December and early January, included feedback from 75 institutions and 73 independent market participants.
During the survey period, Bitcoin largely remained within that price range. About 25% of institutional respondents said the asset was fairly valued, while just 4% believed it was overvalued.
Bitcoin is currently trading around $87,600, more than 30% below its October all-time high of $126,080, according to CoinGecko. The broader crypto market has struggled to recover since a sharp sell-off on October 10 wiped out over $19 billion in leveraged positions.
Crypto lags as gold and stocks gain
Market sentiment around crypto has remained subdued amid rising geopolitical uncertainty and renewed trade tensions. Coinbase pointed to escalating risks tied to U.S. tariff threats and growing instability in the Middle East, warning that further disruptions, particularly to global energy markets, could weigh on investor confidence.
While crypto prices have moved sideways, traditional assets have surged. Gold climbed to a new record above $5,000 this week, silver has doubled in market value since October, and the S&P 500 has posted a modest 3% gain over the same period.
Coinbase cautioned that ongoing geopolitical flare-ups could extend crypto’s underperformance in the near term.
Institutions signal long-term conviction
Despite the pullback, institutional investors appear largely unfazed. About 80% of those surveyed said they would either hold their positions or buy more crypto if the market dropped another 10%, reflecting strong long-term confidence in the asset class.
More than 60% reported that they have maintained or increased their crypto exposure since Bitcoin’s October peak. Meanwhile, 54% of institutions believe the market is currently in an accumulation phase or early bear market, historically a setup for longer-term upside.
If you would like to read more articles like this, visit DeFi Planet and follow us on Twitter, LinkedIn, Facebook, Instagram, and CoinMarketCap Community.
Take control of your crypto portfolio with MARKETS PRO, DeFi Planet’s suite of analytics tools.”
