JPMorgan Asset Management forecasts that Bitcoin will deliver an average annual compounded return of 10% over the next 10 years.
JPMorgan Asset Management presented a long-term return forecast for Bitcoin for the first time in its 2027 Long-Term Capital Market Assumptions. Bitcoin’s projected compounded return was 10% per year, exceeding the 7.5% forecast for U.S. large-cap stocks and 5.5% for gold.
However, JPMorgan estimated Bitcoin’s annualized volatility at 55% and did not include Bitcoin in its core portfolio models because of its high volatility and unstable correlation with other assets.
Bitwise Chief Investment Officer (CIO) Matt Hougan said, “At first they ignore it, then they ridicule it and fight it, and eventually they include it in a long-term capital market outlook report and forecast it to be the asset with the highest returns over the next 10 years.”