Pantera Capital Says Bitcoin Is Severely Undervalued as AI Stocks Overheat

Pantera Capital CEO Dan Morehead said institutional money chasing AI stocks has created a historically rare divergence between equity and crypto asset valuations. The crypto investment firm said Bitcoin retains long-term growth potential and that its current undervaluation could present an allocation opportunity.

The latest report said Bitcoin was trading 43% below its long-term trend line, prompting Morehead to describe cryptocurrency as being at an extremely low price. The report did not disclose a specific dollar price, the amount of capital involved or the interview date. It said capital had shifted toward AI in the short term, while Pantera Capital's long-term outlook for the crypto market remained unchanged.