PlanB, the anonymous creator of the popular price prediction tool, Stock-2-Flow (S2F) model is highly optimistic that his model that projects Bitcoin’s price at $100,000 will come true latest by 2023.
Taking to Twitter, PlanB said that “Both S2F and logarithmic regression point to $100K in 2023,” a declaration that has stirred a number of positive and negative reactions alike.
PlanB is a famous analyst in the digital currency and stock market ecosystem, as most of his projections have a high level of accuracy until last year. The analyst who has had a stint of successes in the past years proclaimed, based on the same S2F model that Bitcoin’s price will top $100,000 in 2021. However, the coin ended the year way below the average of the projected price.
The S2F model takes a reference to the asset’s stock or total supply and its demand or rate of emission or depletion which makes up the ‘Flow’ end. Based on this, PlanB predicted a worse case price target of $98,000 for BTC last year as well as a best-case scenario of $135,000 respectively, and neither of these projections was actualized.
Bitcoin was trading at $44,050.66, up 5.06% at the time of writing, according to data from CoinMarketCap. From the projection of $100,000 by 2023, PlanB is implying that the price of Bitcoin will grow by more than 120% from the point it is trading at the moment. While PlanB may trust his models, the industry is arguably losing trust in its veracity, and this also applies to a few other analysts that have at one point or the other given a very bullish prediction of the premier digital currency.
The flexibility in time is poised to favour BTC price growth this time around and coupled with the fact that more institutional investors are swarming into the ecosystem, more scarcity that can drive BTC’s price up is bound to be experienced in the mid to long term.
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