2020 - 2021 Best Cryptocurrency News Investment Guide

Stock-to-Flow Model Suggests Second Leg of Bitcoin Bull Market Imminent
2021-09-03 23:50:39 Primitive Reading


According to PlanB, the brainchild behind the highly-debated Bitcoin stock-to-flow model, the bull market is not over yet.

In a tweet on August 18, the analyst posed an update of the model showing that target white line and on-chain pricing signals indicate that we are still in the middle of this cycle.

The target price for the fourth cycle is well over $100K, but that could be hit anytime in the next three years if things play out according to that model. When asked how he came to such a conclusion, ‘PlanB’ responded:

BTC Value Through Scarcity

The stock-to-flow (S2F) model was originally published in March 2019, delving into the relationship between the production of supply and the current stock available, essentially calculating Bitcoin’s value through scarcity.

The model has been pretty accurate during Bitcoin’s lifespan so far, and its creator still asserts that prices have a lot further to go during this cycle:

“IMO we are going up, first to 100k, then 288k”

Earlier this month, ‘PlanB’ said that the model was running like clockwork when BTC closed July above $41K.

In late June, the model predicted that BTC prices would top $98K by November, which is now just 3 months away.

There have been several detractors to the methodology used in predicting these epic price surges. The S2F multiple, which tracks the actual price compared with the predicted one, reported that it was actually a deviation of -0.83 from what it should be.

Bitcoin Price Outlook

Bitcoin prices have been falling back over the past couple of days. At the time of press, they had retreated a further 2.7% on the day to $45,180, according to CoinGecko.

Tradingview has a slightly higher price of $45,800, showing that Bitcoin is hovering around the crucial 200-day moving average, which is currently acting as support.

Further declines could see the asset plunge to the next major support zone at the 50-day moving average, which is currently around $41K.

On the upside, Bitcoin now needs to break resistance at recent highs just above $48K for the bulls to resume their charge.

Disclaimer: This specification is preliminary and is subject to change at any time without notice. MYTOKEN assumes no responsibility for any errors contained herein.

Recommended reading
The most promising masterpiece of 2021 - PVZ chain game sharing

10-22     Amazon Finance     8211 Reading

EC: Super technical team to build the strongest public chain

10-22     Amazon Finance     8245 Reading

Ecology Blockchain Reshapes Global Cross-Border Payment Application Ecosystem

10-22     Amazon Finance     8034 Reading

LucidWeb, the largest VR company in France, and Dragon Cloud have agreed to set up a metaverse blockchain lab!

10-22     Amazon Finance     9366 Reading

Armonia Exchange, announces its official public beta

10-22     Amazon Finance     7342 Reading

MetaTrads Received Strategic Investment from HashKey Capital, Nascent Capital and More

10-22     Amazon Finance     9579 Reading

BLUS Game Association has officially changed its name to BluSea NFT trading platform and obtained investment from a number of international renowned institutions

10-22     Amazon Finance     6156 Reading

The grand debut of Twit Farms — the new and upgraded version of Farmers World is coming

10-22     Amazon Finance     11232 Reading

SuperCup and RIT Blockchain Lab blockchain laboratory reached a strategic cooperation, the two sides will work to build the future of the game ecology

10-22     Amazon Finance     11925 Reading

Farmer World PULS+ | Meta Universe Chain Tour-TWIT FARMS was born, and the glory is coming

10-22     Amazon Finance     8833 Reading

Blizzard Entertainment: optimistic about the metaverse chain tour track, and will launch the metaverse chain tour products

10-22     Amazon Finance     6759 Reading

FWNFT to open 'Community Rush' soon with seven global communities receiving quota support

10-22     Amazon Finance     7049 Reading

CrazyFarm and Deloitte Blockchain Labs enter into a strategic partnership as they work to build the future of the metaverse

10-22     Amazon Finance     13569 Reading

CrazyFarm and Deloitte Blockchain Labs enter into a strategic partnership as they work to build the future of the metaverse

10-22     Amazon Finance     13567 Reading

DataBase Labs has officially launched a project that it says will create the first NFT trading platform that aggregates across chains!

10-22     Amazon Finance     12404 Reading