According to leading cryptocurrency trading expert PlanB, bitcoin (BTC) is on track to reach over $100,000 by the end of the year.
The Dutch trading expert, known for the Bitcoin stock-to-flow (S2F) model, has been keeping a close eye on the flagship digital asset, with the model predicted to exceed $100,000 by the end of 2021.
On Tuesday, November 2, 2021, PlanB reaffirmed that the model it unveiled works “like a clock.”
Like clockwork pic.twitter.com/SBjFgdmAyy
— PlanB (@100trillionUSD) November 2, 2021
What is the stock flow model?
The leading crypto analyst has three different models. However, its underlying model, the stock flow model, is based on the assumption that the rarity of an asset will increase its value. The model claims that the rarer the asset and the slower the production rate, the more valuable that asset will be over time.
The trader has made consistent predictions so far. Bitcoin’s price closed lower in September than it did in August. PlanB predicted this situation months in advance and successfully predicted the closing price. It also predicted a close at $63,000 for October. Their targets for the foreseeable future are as follows: November is expected to be around $ 98,000, and December is expected to be around $ 135,000. In a recent interview on current market conditions, PlanB said:
“If this model continues to be successful in making price predictions – and frankly I would be surprised if it doesn’t – Bitcoin could go to $98,000 in November and $135,000 in December. If this scenario happens, it’s going to be a really good New Year’s Eve.”
Bitcoin price remains stable
Bitcoin price remains calm at around $63,000 for now, with a well-known name in the crypto space calling it the “calm before the bullish storm.” Cryptocurrency Dan Held of the Kraken exchange instructed his followers to “Buckle your moon boots”.
With November traditionally a good month for Bitcoin trading, there are plenty of experts expecting a record-breaking finish for 2021. According to historical trends, Bitcoin price may reach parabolic levels by the end of this year; however, any black swan event (financial market surprise, significant impact, and unexplained by rational analysis) could derail investors’ expectations of hitting all-time highs.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.