Home News Bitcoin price can hit $450K in 2021, $135K is ‘worst-case scenario’

Bitcoin price can hit $450K in 2021, $135K is ‘worst-case scenario’

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The creator of the popular Bitcoin price prediction model Stock-to-Flow (S2F) PlanB over the weekend released new predictions about the future of BTC pricing.

PlanB noted that at the moment there is a “fundamental weakness” in the cryptocurrency market, which may continue in July. So, he described a potentially bearish scenario for Bitcoin this year, according to which one Bitcoin will cost at least $ 135,000 by December 2021.

The most optimistic scenario assumes an increase in BTC to $ 450,000.

PlanB emphasizes that the current price pattern is consistent with a bearish scenario, however it is confident that Bitcoin will hit its all-time high by October. And by the end of the year, the price will reach $ 135,000.

Commenting on its own tweet, PlanB noted that it still expects a favorable set of circumstances.

The stock to flow model is based on Nick Szabo’s concept of “irresistible cost”. It estimates the change in the scarcity and value of Bitcoin over time.

Other Bitcoin price predictions

Perianne Boring in an interview with CNBC noted that Bitcoin could reach $ 288,000, while referring to the same model:

 “According to the Stock to flow model, Bitcoin should be in the range of $ 100,000 to $ 288,000 this year. We have 12 years of Bitcoin statistics, and we can use them to build a Stock to flow model. The US dollar, for example, correlates with stock to flow by 94%”.

Nexo co-founder Antoni Trenchev believes Bitcoin will be worth $ 100,000. He announced this in an interview with Bloomberg. Trenchev also believes other countries will follow the example of El Salvador and make Bitcoin legal tender.

Earlier Bloomberg analyst Mike McGlone also predicted $ 400,000 per coin. In his opinion, Bitcoin will become a global digital reserve asset. Bitcoin (BTC) continues to be criticized for being too volatile, but McGlone believes it is, on the contrary, becoming a “risk-free” choice for investors.

Conclusion

As we can see, a lot of long-term predictions are emerging in the cryptocurrency space. At the same time, almost all are extremely optimistic.

PlanB has repeatedly lifted the general market sentiment in recent weeks and months. While BTC / USD has seen numerous retests of lows in recent months, the analyst – and his models – remain firmly committed to the bullish scenario for the largest cryptocurrency.

Now, even in the “worst case scenario” for Bitcoin, it will still trade at $ 47,000 in August. Then things heat up, from $ 98,000 in November and $ 135,000 by the end of the year.

One of the factors that indicate a high likelihood of further price increases is: an increase in the number of wallets with a balance of more than 1000 BTC, this indicates the reluctance of large market players to sell at current prices, that is, they are waiting for further growth.

Thus, the demand for Bitcoin from both private and institutional investors is growing. In the long term, it will continue to grow – in particular, due to the build-up of money supply by the US Federal Reserve and the depreciation of the dollar and other world currencies.

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