Analysis from Famous Analyst PlanB: “New ATH For Bitcoin (BTC) May Come In This Cycle”

Famous bitcoin Analyst and founder of the stock-to-flow model, PlanB, shared his latest views on BTC on Twitter.

Update About Bitcoin’s Stock-to-Flow Model Has Received From PlanB

According to the analyst’s Tweet, Bitcoin appears to be heading towards the “dark blue area” of the stock-to-flow pattern, which indicates a potential uptrend.

#Bitcoinbouncing back towards dark blue area of ​​the stock to flow valuation model. Hate it or love it, the halving is coming. Tripple top (new ath) in the current cycle is not impossible, IMO.https://t.co/lZXhhMJ1I4 pic.twitter.com/0qFuLgTG3f

— PlanB (@100trillionUSD) March 18, 2023

The stock-to-flow model, which measures an asset’s rarity based on its current supply and annual production rate, has historically been a reliable indicator for Bitcoin’s price movements. PlanB’s model predicts that the price of Bitcoin will rise significantly after each halving event, which occurs approximately every four years and halves the number of new Bitcoins entering the market.

PlanB states in his tweet that the next halving event is imminent and that a “triple peak” for Bitcoin in the current cycle, i.e. a new all-time high, is not impossible.

The “halving” that PlanB refers to is a major event that occurs on the BTC network approximately every four years, where the rate of minting new coins is halved. This is a deliberate mechanism built into the Bitcoin protocol to control the supply of new coins and ensure their scarcity.

PlanB’s stock-to-flow pattern shows that the long-term outlook for BTC remains bullish.

According to the analyst’s model, as more institutional investors enter the market and more countries accept Bitcoin as a legal currency, the demand for this digital asset is expected to increase, potentially increasing its price even further.

*Not investment advice.