Bitcoin Alert Is Issued By Expert Who Called Out A BTC Boom To $1 Million
Bitcoin-related optimistic predictions continue to pour in the crypto market like there’s no tomorrow.
The very first analyst who applied the stock-to-flow ratio to Bitcoin has highlighted a key date that will show whether this model is an accurate way to predict the price for the digital asset.
You may know that stock-to-flow is usually used to analyze gold and it’s also worth noting that it calculates the supply of a certain commodity divided by the amount that is produced on a yearly basis in order to predict the future value.
When using the ratio to forecast where Bitcoin may be headed, the BTC’s limited supply of 21 million coins becomes a key factor.
Bitcoin as a digital form of gold
More than that, according to the online publication, the Daily Hodl reveals that using this model, the outlook from the analyst PlanB shows that BTC should hit $100,000 around 2021 and break $1 million around 2025.
During a new interview with Real Vision, Plan₿ explained that we’ll know if the model is accurate or not if BTC reaches $100,000 by the end of 2021.
“Well, if we look at the stock-to-flow model, the only thing I can take from that is that taking the co-integration into account is that somewhere between a year and a year and a half after the halving,” the expert says.
This very special Gold vs Bitcoin guest would ONLY agree to be interviewed if @RaoulGMI was asking the questions… and he could remain anonymous.
— Real Vision (@RealVision) October 18, 2019
The analyst continues and explains: “So, say before Christmas of 2021, Bitcoin should be – should have been – above $100,000. If that’s not the case, then all bets are off, and it probably breaks down. I don’t expect it to happen, but that’s the big test that’s going. And I think a lot of people are waiting for that.”
Bitcoin adoption is on the rise
In other news, we recently reported that Bitcoin and Litecoin adoption is on the rise.
Crypto enthusiasts started investing more in BTC and digital assets, even though the crypto market has been extremely volatile lately.
Regarding pricing, Bitcoin is currently trading in the red on CMC, and BTC is priced at $8,237.84.
Andreas Townsend Author
I am a technical writer, author and blogger since 2005. An industry watcher that stays on top of the latest features, extremely passionate about finance news and everything related to crypto.