PlanB, a well-known figure in the Bitcoin community, has recently made a bold prediction for the future price of Bitcoin. Utilizing his Stock-to-Flow (S2F) model, PlanB has forecasted that Bitcoin could reach a staggering $5 million per BTC in the next decade.
The S2F model examines the relationship between an asset’s reserves and its annual production, serving as the foundation for PlanB’s predictions. According to his analysis, the upcoming halving cycle from 2020 to 2024 is expected to stabilize Bitcoin’s price at around $50,000. However, the real excitement comes in the subsequent cycles, with projections suggesting that Bitcoin could rise to $500,000 in the 2024-2028 cycle and ultimately reach $5 million in the 2028-2032 cycle.
PlanB’s projections have sparked significant interest and debate within the crypto community. While some remain hopeful, others caution that the limited number of data points and the inherent margin of error in the model make it challenging to predict precise future prices. PlanB himself acknowledges these limitations and admits that his predictions are based on past halving events and the pre-halving period.
Bitcoin’s recent price action further adds to the uncertainty. While it has experienced a notable decline over the past week, currently trading at $67,167, technical analysis suggests that there is a critical support range for Bitcoin between $60,000 and $67,000. This range is seen as a potential pivot point for the market’s direction, particularly considering the significant selling activity on platforms like Coinbase and Binance.
As the Bitcoin journey unfolds, the crypto community will be watching closely to see if PlanB’s forecast of substantial growth comes to fruition. While the future remains uncertain, the possibility of Bitcoin reaching $5 million per BTC in the next decade has certainly captured the imagination of many in the space.