In a recent post that echoes his previous analysis, renowned creator of the Stock-2-Flow (S2F) model, PlanB, highlighted a fundamental phase transition in the bitcoin market. However, many may not recognize it.
Reflecting on its analysis from January of the previous year, PlanB recalled its statement that the bear market phase had ended and an accumulation phase had begun. Despite this, many at the time still anticipated a drop to a bitcoin price of $10,000.
Consequently, even as the analyst's model signals a phase transition for bitcoin, skepticism may still cloud the perception of many in the market.
bitcoin enters a transition phase, ready to recover
Despite the market movement, PlanB's bitcoin market cycle model chart indicates that the flagship cryptocurrency has been in an accumulation stage. This critical period of consolidation began in early January of last year, according to PlanB, aligning with the analyst's previous claim that the bear market had concluded at that time.
The accumulation phase is usually marked by increased buying activity, often by long-term investors or “whales”, laying the groundwork for future price increases.
PlanB analysis, shared early last year, suggests that bitcoin had bottomed in November 2022, with a low of $15,500. The analyst posits that bitcoin's trajectory is marked by substantial growth that will lead to the halving in 2024 and the subsequent bull market in 2025.
The best thing about this bitcoin market cycle model is that only a few will believe it when it detects a phase transition. For example, when I tweeted on January 12 that the bear market (green) was over and the accumulation phase (blue) had begun, many were still asking for 10k. https://t.co/V74Y8VYCVo pic.twitter.com/l2uuFaVr14
— PlanB (@100 billion dollars) January 16, 2024
PlanB predicted in the post shared last January that bitcoin's value would trade above $32,000 after the halving and would even reach or surpass the $100,000 mark in the bull market in 2025.
Further progress ahead
The bullish sentiment is further reflected in PlanB's recent predictions, including a pre-halving surge, a rally following the approval of bitcoin exchange-traded funds (ETFs), and a monumental spike expected in the coming years. years.
your youtube video outlines a short-term forecast that bitcoin will skyrocket past $50,000 before the April halving.
Looking ahead, the creator of the S2F model, PlanB, anticipates that btc will surpass its previous highest value, potentially reaching a price of $100,000 within the year. This forecast gains even more credibility with the recent approval of spot bitcoin ETFs in the United States by the United States Securities and Exchange Commission (SEC).
PlanB's long-term view for bitcoin is even bolder, projecting a rise to $532,000 by 2025. This forecast is supported by the analyst's Stock-to-Flow (S2F) model.
I expect $55,000 worth of bitcoin at the halving, $100,000 in 2024, $532,000 in 2025:https://t.co/TSo7TpNfzb pic.twitter.com/mQaXM5Qabb
— PlanB (@100 billion dollars) January 10, 2024
The model suggests a future where btc transcends its current state to become a dominant digital store of value, potentially reshaping the traditional financial landscape.
Featured image from Unsplash, chart from TradingView
Disclaimer: The article is provided for educational purposes only. It does not represent NewsBTC's views on whether to buy, sell or hold investments, and investing naturally carries risks. It is recommended that you conduct your own research before making any investment decisions. Use the information provided on this website at your own risk.
