Bitcoin (BTCUSD)

[ap17]

From nutshell:

EXPONENTIAL RETURNS ARE BACK 💸
A $100,000 Bitcoin this year is inevitable.

That’s the latest bullish prediction out from PlanB.

PlanB
For those of you who don’t know PlanB, he is arguably the most famous on-chain Bitcoin analyst.

With over 1.9 million followers on Twitter, he is most well known for his Stock-to-Flow model and spookily accurate price predictions.

So let’s break down his latest market update.

With the latest halving, PlanB’s stock-to-flow model puts Bitcoin’s average price at $500,000.


But the actual price doesn’t just instantly jump to this level…

PlanB believes it’ll slowly increase over the months and get there between 2024 - 2028:

“2024 - 2028 target is still around $500,000 on average.”


PlanB
But what price does PlanB think Bitcoin will reach this year?

$100,000…

Easily…

“It is inevitable that we reach $100,000 in my opinion, because miner revenue has to recover.”


PlanB
PlanB’s reasoning is simple.

Due to the halving, the entire mining industry’s revenue dropped by 50%.

(Daily Bitcoin issuance was cut from 900 to 450 BTC)

That revenue has to recover:

“Usually, the last three halvings, it did recover within 4-8 months. So that’s well within this year. The only way for mining revenue to recover is for price to double.”


PlanB
And with the price hovering around $59,000, that puts us well above PlanB’s target of $100,000 this year.

“Will the price follow the stock-to-flow model again? Will it be exponential returns again? You know my answer, I think stock-to-flow is still valid and I think we will have exponential returns.”


PlanB
PlanB’s stock-to-flow model has received some criticism in the past for being a little off at times…

But he’s still confident that it’s valid.

And if he’s right, we’re all set to benefit greatly. 😎