Can Bitcoin (BTC) really maintain its sky-high prices, or are we being led into a speculative frenzy? PlanB, notorious for his Stock-to-Flow model, is stirring the pot with his latest claim that the asset will never dip below $40,000 again due to its realized price. But can we trust this bold assertion?
Never Again Below $40K? Bitcoin’s ride since the year’s inception has been nothing short of a rollercoaster, thanks to the much-hyped ETF approvals in the United States. The launch of these products, touted as a game-changer, turned out to be nothing more than a sell-the-news event, causing BTC’s value to plummet by a whopping ten grand within weeks of hitting the US markets.
Realized prices are all increasing, and bitcoin is above them all = bullish. Also, 5M realized price (currently $40k) acts like a floor for the dips in bull markets (red arrows). So .. never below $40k again?
More info here: https://t.co/r5jEOGC3QS pic.twitter.com/aemAq8Q3C8— PlanB (@100trillionUSD) February 8, 2024
However, just when despair seemed to loom, the asset miraculously rebounded, erasing almost all losses and soaring to nearly $45,000 today. But hold your horses, says PlanB. According to him, the recent retreat to sub-$40,000 levels caught many off guard and might not repeat itself.
This optimistic outlook is based on Bitcoin’s realized prices across various timeframes. PlanB points out that while the overall BTC realized price sits comfortably at $23,000, the 2-year and 5-month realized prices stand at $32,000 and $40,000, respectively. With BTC’s current market price hovering around $45,000, PlanB interprets this as an extremely bullish sign, boldly speculating that Bitcoin may never dip below $40,000 again.
Controversial Price Predictions Amidst the fervor surrounding ETF approvals and the looming fourth halving, predictions about BTC’s future price trajectory are running wild.
A recent study by Bitget boldly forecasts a staggering $150,000 price tag for Bitcoin in the near future, more than doubling its previous all-time high of $69,000. Joining the chorus of optimistic voices is none other than Robert Kiyosaki, author of the Rich Dad Poor Dad bestseller, who echoes a similar sentiment.
But wait, there’s more. Fundstrat’s Tom Lee throws his hat into the ring, predicting BTC’s price to surge anywhere between $100,000 and $150,000 this year alone, with an eye-watering leap to $500,000 by the decade’s end.
As the debate rages on, one thing is for certain: the cryptocurrency world is as volatile as ever, and bold assertions like PlanB’s are sure to stoke controversy among both skeptics and believers alike.
