You might be interested in the latest prediction from PlanB, the well-known Bitcoin analyst and creator of the Stock-to-Flow (S2F) model. PlanB, who has garnered over 1.9 million followers on social media platform X, recently shared a new Bitcoin price forecast.
PlanB’s Prediction: Bitcoin at $140,000
PlanB took to social media to predict that Bitcoin’s price could double within the next 3-5 months, reaching around $140,000. His message read, “Miner revenue bottomed after April 2024 halving. I expect bitcoin price to double from today in 3-5 months.”
What’s Behind This Prediction?
PlanB’s reasoning is rooted in the mechanics of Bitcoin mining and the halving event. He explained that after the April 2024 halving, miner revenue hit a low point. This phase saw less profitable miners exiting the market, leaving only those with the latest equipment and lowest power costs. With fewer miners, the mining difficulty is set to increase, which PlanB believes will shift the pricing power to investors, influenced by the higher S2F ratio.
The Stock-to-Flow Model
The Stock-to-Flow model is central to PlanB’s predictions. This model examines the relationship between the existing stockpile of Bitcoin (stock) and the annual production (flow). Every four years, Bitcoin undergoes a halving, reducing the rate at which new Bitcoins are created. This halving effectively doubles the S2F ratio, which PlanB argues could lead to significant price increases if demand holds steady.
Historical and Future Predictions
PlanB’s prediction aligns with his broader outlook on Bitcoin’s future. He has previously estimated that Bitcoin could hit $150,000 by the end of 2024, and potentially reach $500,000 on average between 2024 and 2028. His model suggests a series of price movements, with notable peaks and troughs, reflecting the cyclical nature of the cryptocurrency market.
My best guess bitcoin scenario 2024-2028:
– 2024 (EOY): $0.15m
– 2025: $0.8m
– 2026: $0.4m
– 2027: $0.3m
– 2028: $0.4m
This scenario (pink dots) would fit S2F^3 power law model perfectly, and would be a bit higher than time^6 type power law models. pic.twitter.com/EpgbaPlAvL— PlanB (@100trillionUSD) June 10, 2024
If PlanB’s predictions hold true, we could be on the brink of another major Bitcoin rally, and seeing substantial returns in the near future. Although Bitcoin briefly touched the $70,000 just less than 48hours ago, it is currently trading at $66,938 according to CoinMarketCap data, just around what analysts consider a final major resistance, before a new price breakout. Sentiment currently is extremely bullish, and there are quite some solid markers that show a new all-time high is a possibility soon, hence you might want to reconsider if you are looking to sell your Bitcoin. As always you have to consider the inherent risks and market volatility involved with cryptocurrencies.
What do you think about PlanB’s latest prediction? Are you optimistic about Bitcoin’s future, or do you see potential challenges ahead? Let us know, and don’t forget to follow us and bookmark HowToBuyBitcoin.org!