Dan Morehead Tells Investors Crypto Is Still Cheap

Pantera Capital CEO Dan Morehead sees a clear opportunity in the current crypto market. Speaking at the TOKEN2049 conference in Dubai, he made the case for digital assets like Bitcoin, especially in contrast to traditional investments such as stocks and bonds.

Good to know

• Morehead says Bitcoin remains undervalued despite policy shifts favoring crypto.
• He believes traditional assets are overpriced and riskier.
• Bitcoin has outperformed the S&P 500 by a wide margin over the past year.

Dan Morehead believes current prices in the crypto space do not reflect recent policy momentum in the United States. He pointed out that with growing political support, especially from the current administration, prices should already be much higher.

“If right before the US election a genie showed you a crystal ball and said that a pro-crypto candidate would win, the pro-crypto party would be in charge of the House and Senate, 54 anti-crypto people would be out of Congress, there’d be executive orders with Bitcoin strategic reserve, all kinds of things like this happening, and you said that the market would be only up 35%, they would say you were crazy,” Morehead said.

Despite Bitcoin being up 35% in recent months, he says that gain is underwhelming considering Pantera’s long-term outlook. “Our Bitcoin fund has a 13-year compound annual growth rate of 85%,” he added, suggesting that the current rally is modest in the bigger picture.

Morehead compared Bitcoin’s performance directly with the S&P 500. Over the last year, Bitcoin is up 50%, while the S&P 500 has climbed just 8%. He believes this is a clear indicator of where investors should be focusing.

According to Morehead, traditional investments are no longer safe bets. “Stocks and bonds are super expensive to their long-term average,” he explained. He also pointed to ongoing global uncertainty, inflation concerns, and tariffs as added risks for stock and bond investors.

Rather than treating crypto as a high-risk option, Morehead suggested it may be the more stable investment in today’s economic climate.

“Blockchain is the safest place to hide, and you’re already seeing that,” he said. He backed his point with performance data showing that Bitcoin, gold, and top crypto assets have outperformed many traditional asset classes over the past year.

In his view, investors are starting to shift toward digital assets not just for returns but also for safety from broader financial instability.