Schwab Crypto Expert Pegs Fair Value of Bitcoin at $95,000

Charles Schwab's Head of Crypto Research, Jim Ferraioli, has estimated the fair value of Bitcoin (BTC) to be around $95,000. This assessment is based on the cryptocurrency's mining economics rather than short-term market sentiment. Ferraioli emphasized that production costs are an important metric for estimating BTC's fair value, comparing it to traditional commodity markets where producers operate with relatively low profit margins.

The most efficient miners produce one BTC at a cost of approximately $60,000, while lower-efficiency miners incur costs up to $95,000. Ferraioli noted that this level is not a price target for BTC, but rather a valuation or forecast based on economic data. He added that the $60,000 level could serve as significant fundamental support for Bitcoin.