Bitcoin (BTC) Will Never Go Below $35K Again: PlanB
Stock-2-flow (S2F) model creator PlanB has shared an unpopular but soothing Bitcoin (BTC) price prediction. Sharing one of his posts on X, PlanB emphasized that Bitcoin’s price will never go below the $35,000 mark again.
He presented a chart through which he argued that Bitcoin’s valuation has increased based on its inherent hashrate. He said, based on his opinion, that besides the possible black swans or short-term volatility and based on $/kWh-arbitrage fundamentals, the premier asset market value will not retrace below the $35,000 support.
🚨BREAKING: Bitcoin valuation based on difficulty (hashrate) increased to $35k yesterday. IMO this could mean that, apart from possible black swans or short term volatility, based on $/kWh-arbitrage fundamentals … BTC will never go below $35k ever again. pic.twitter.com/JPLkXieQAP
— PlanB (@100trillionUSD) November 27, 2023
He reiterated his insights in some follow-up posts, highlighting the arbitrage that exists between Bitcoin miners buying the asset with electricity and users buying with cash on exchanges. To him, this arbitrage might be deepened with the coming ETF, and miners selling the cryptocurrency might charge a premium based on their unique knowledge of the market.
As the creator of a widely used market analytics model, PlanB showcases a convincing prediction on several assets, especially Bitcoin. PlanB is one of the analysts who believes that a Bitcoin price of $100,000 is a conservative estimate for the digital currency. He has recently been pushing the narrative that Bitcoin will trade between the $65,000 and $524,000 range in the near future.
Current Bitcoin outlook and market projections
The PlanB projection comes at a time when the market is experiencing a major recoil as a bearish takeover appears to be underway. Bitcoin is currently trading at a price of $37,106.80, down by 1.07% in the past 24 hours.
Despite the encompassing drawdown, the asset;s price still seems far away from falling to the $35,000 price level, validating PlanB’s predictions. The growing clamor by the market for Bitcoin spot Exchange Traded Fund (ETF) approval by the United States Securities and Exchange Commission (SEC) has lent another twist that might bolster market resilience.
The expectation of Bitcoin ETF, pegged at a 90% probability, has fueled a lot of bullish forecasts for BTC, including its potential to soar beyond $600,000, according to Ark Invest’s Cathie Wood.