of bitcoin PlanB, founder of the Stock-to-Flow (S2F) model, said that BTC will never go below $24,500 unless there is some very sudden and bad kind of rare development.
It is understood from the tweets of the famous analyst that what he meant by rare developments was events such as war or big stock market hacks.
The analyst, who was wrong in some of his predictions in the past, states that he is still confident that the world’s largest cryptocurrency will rise above $ 100,000 by the end of this year.
“No Reason for BTC Price to Drop Below Average Cost Price”
The analyst, who has 1.7 million followers on Twitter, stated that he does not see any reason for Bitcoin to fall to the current realized price (average cost price).
The analyst also stated that there have been only three events in the past that caused the BTC price to fall below this level.
The events that lowered the BTC price below its level in the past were the hacking of the MtGox exchange in 2011, the hacking of the Bitstamp exchange in 2014, and the hacking of the Bitstamp exchange in 2018. Bitcoin SV (BSV) It was hard fork. These three events brought the BTC price below the realized price level.
Some people are afraid BTC might drop to Realized Price level of $24.5K. However, last 3 times such a capitulation happened, the cause was (yellow circles):
– 2018: BSV FORK
– 2014: Bitstamp exchange HACK
– 2011: MtGox exchange HACKNot seeing that now. pic.twitter.com/pdrkChrUOE
— PlanB (@100trillionUSD) April 15, 2022
Another famous analyst, Willy Woo, said that he did not agree with the idea that the BSV hard fork caused the price drop in 2018.
According to Woo, the reason for the decline in 2018 may be whales controlling the perpetual futures bonds on BitMEX.
Founded in 2014, BitMEX was one of the most well-known cryptocurrency exchanges in the world at the time. Introducing the “perpetual futures” feature in 2016, the stock market thus attracted the attention of investors interested in leveraged transactions and became the best derivative product of that period.
Although PlanB’s prediction that the BTC price will rise to $ 100,000 for 2021 does not hold, the analyst in his statement in February claimed that the BTC price will reach the six-digit level by the end of 2023.
*Not investment advice.