An anonymous investor and analyst under the pseudonym PlanB expects a significant jump in the value of bitcoin, predicting that it will reach the $60,000 mark in the coming days.
PlanB claims that after the recent fall, the leading cryptocurrency has entered an accumulation phase, consolidating around the $40,000 mark. According to PlanB, "bitcoin is currently in a consolidation phase, strengthening itself for the upcoming jump to $60,000."
Bitcoin consolidating a bit around 40k, gaining strength for the next +50% jump towards 60k pic.twitter.com/9BMnGUKd5t
— PlanB (@100trillionUSD) January 23, 2024
Interestingly, #Arthur Hayes, a well-known crypto expert and co-founder of the BitMEX exchange, predicted a drop in the bitcoin price, expecting it to fall below $40,000. Remarkably, Hayes' prediction turned out to be accurate as the asset did indeed fall below $39,000. Currently, bitcoin is trading around $39700, according to TradingView.
It's worth noting that #PlanB is the organizer of the Stock-to-Flow (#S2F) forecasting model, a concept inspired by Nick Szabo's research. In September 2023, PlanB suggested that bitcoin could fluctuate between $32,000 and $66,000 during a halving event.
In addition, PlanB envisions the start of a "#bullish" market that will raise the price of the mainstream cryptocurrency from $100,000 to an astounding $1 million by 2025.
Interesting
Who is PlanB?
PlanB is one of those players in the world of cryptocurrencies whose identity is unknown, similar to Satoshi Nakamoto, the founder of Bitcoin. However, in the case of PlanB, we know a bit more about him, even if it is impossible to pinpoint his identity.
The man is reportedly from the Netherlands and has a fairly extensive knowledge of law and quantitative finance. This means that he probably worked in trading companies or is close to certain politicians. This hypothesis explains the fact that he does not want to reveal his identity to the general public.
PlanB is also known as an asset manager who looks after the wealth of rich people. According to him, he is a member of a team that manages several billion dollars. Of course, this information is impossible to verify. But it could still be true, given his skills in creating a Stock-to-Flow model for Bitcoin.
What is the Stock-to-Flow model?
The Stock-to-Flow (S2F) model measures the relationship between an asset's available stock and its performance. Simply put, S2F measures the abundance of a particular resource and is used by analysts to make financial projections. The concept was originally applied to those precious metals and other scarce commodities such as platinum, silver, and other natural resources.
What should the value of Bitcoin be in the long term?
The Stock-to-Flow model estimates the value that Bitcoin could have in the future.
According to PlanB, between 2024 and 2028, the market value of BTC will become greater than that of real estate. That's a pretty big period, but it's hard to develop a more accurate model for estimating the price of Bitcoin in the future.
The Stock-to-Flow model only gives an idea of what the price of BTC should be between "$50,000 and $250,000," for example. So the first cryptocurrency has a lot of room to maneuver.
