If you’ve been following Bitcoin’s price levels since the beginning of 2020, then you’ll know that it didn’t look good. For quite a while the price stagnated around the $9000 mark and struggled to move from there. Many were thrown into the throes of despair. However, the cryptocurrency has managed to gain ground and recently swung up to the $11 700 price level. The designer of the Stock to Flow model has proposed that Bitcoin will soon reach $100K.
Dissecting The Forecast Of Bitcoin Hitting $100 000
The developer of the highly contentious Stock to Flow, or S2F, framework, PlanB, has shared his findings. He believes that Bitcoin, BTC, is fast-gaining on the prediction that it will meet the $100 000 mark in value. This prediction is supposed to be met by the end of 2020. There can be no better time, as investor faith has switched. Previously investors were more interested in alt-coins, however, have recently been returning to BTC in droves.
PlanB stated that though he is unable to share data currently, due to his location, his model was flowing perfectly. This news coincides with BTC smashing through a three-year pattern within price. In fact, over the past week, the best-known token has risen by 17% in value. According to industry experts, many BTC-holders anticipate the coin to strive further upwards in the coming weeks.
Other Data Experts Also Believe That Bitcoin Will Be Growing
Over the last few days, as BTC has been shining above the $10 000 mark, alt-coins have been languishing. Many of these alternative coins have fallen in value. This includes prominent alt-coins, such as Ethereum. The general expectation is that in the near future, Bitcoin will outperform these alt-coins. This was confirmed by a founding member of the Spartan Group, Kelvin Koh.
Koh went on to add, that if BTC should manage to surmount $11 400, then investors can expect $12 000 shortly. However, other schools of thought, do not necessarily know that if this strength means $100 000 necessarily. This is due to a known trend of Bitcoin increasing in value after alt-coins having a good streak of growth. This behavior stems from traders seeking the security of BTC, as alt-coins become too bullish.
Exploration Of The Alt-Coin Market
Even traders on the cryptocurrency exchanges can exhibit social conditioning. Recently, with all the hype around DeFi firms, the market for tokens associated with these organizations has exploded. Examples of these tokens include COMP, YFI, SNX, and LEND. These coins do not simply double in value but surpass five- to ten-times their initial asking price. The hasty fall of DeFi price levels simultaneously occurred with BTC’s hike, suggesting investors moved over.
The overall information gathered shows that the majority of the market is hedging their bets on BTC in the short-run. Many are currently lodging shorts against BTC. However, experienced traders have suggested that this could spike a further price rally.