Deutsche Bank analysts say Bitcoin is entering a stage similar to gold’s adoption, predicting that its volatility will continue to decline as institutional use rises.
“History appears to be repeating itself. Like Bitcoin, gold was once subject to skepticism, suspicion, and demand speculation,” the bank’s researchers wrote in a note Monday.
The report highlighted that Bitcoin’s 30-day volatility dropped to historic lows in August, even as the cryptocurrency set a fresh all-time high. Analysts said the trend suggests a “gradual decoupling” of price swings from spot market movements as Bitcoin becomes more widely integrated into investment portfolios.
The bank also said regulatory uncertainty in key markets like the U.S. and U.K. is easing, clearing the path for greater institutional adoption. As of 12:46 p.m. ET, Bitcoin traded at $112,897.69, down about 2% on the day.
Looking ahead, Deutsche Bank expects both Bitcoin and gold could share a role on central bank balance sheets by 2030. Emerging markets with inflationary pressures may particularly benefit from adopting Bitcoin as a reserve asset.
The bank has previously described Bitcoin as “the 21st century gold” and is exploring tokenized deposits, stablecoins, and potentially issuing its own token.
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