The creator of the Stock-to-Flow (S2F) model and respected market analyst PlanB has claimed that the price of Bitcoin (BTC) will follow a different trajectory than current views suggest. Amidst the market’s ups and downs, PlanB asserted that the price of Bitcoin will remain above the $35,000 level, providing a chart based on the cryptocurrency’s unique hash power.
PlanB’s argument relies on the concept of arbitrage between miners purchasing Bitcoin with electricity and users buying it with cash on exchanges. He suggests that this arbitrage, which could deepen with the launch of a Bitcoin Exchange Traded Fund (ETF), could allow miners to utilize their unique market advantages to demand a premium.
PlanB has made notable predictions for the cryptocurrency Bitcoin, using his market analysis model widely. He sparked debates by suggesting that Bitcoin could fluctuate between $65,000 and $524,000.
Amid ongoing market adjustments and signs of a downward trend, Bitcoin is currently trading at $37,106, experiencing a 1.07% decrease over the last 24 hours. Despite this pullback, Bitcoin’s valuation continues to stay away from the $35,000 support level, in line with PlanB’s prediction.
The anticipated launch of a Spot Bitcoin Exchange Traded Fund, with approximately a 90% probability, presents an interesting dynamic that could strengthen overall market resistance. Among various bullish forecasts that highlight increasing optimism about Bitcoin’s future trajectory, there is also Cathie Wood’s prediction that BTC could surpass $600,000.
