- Several Bitcoiners are optimistic that the Stock-to-Flow model will survive the recent Bitcoin crash.
- PlanB says Bitcoin current price pattern is similar to 2013’s.
Several Bitcoiners are convinced that the popular Stock-to-Flow (S2F) model will not break despite the huge decline in the price of Bitcoin last month. The Bitcoiners’ stance on the S2F model came in response to a tweet by the creator of the model, PlanB. The pseudonymous analyst and S2F creator generated a poll to know what people think about the survival of the S2F model after the freefall in BTC price.
On his Twitter page, PlanB asked:
So, will Stock-to-Flow model break, or will this turn out to be an excellent buy signal?
Bitcoiners believe in the Stock-to-Flow model
PlanB added a poll that gives three options. Option A says “S2F will break,” option B says “Buy signal,” while option C says, “I don’t know, show results.” So far, 30,755 people have participated in the vote, with 53.3 percent saying choosing the “Buy signal” option. At press time, the poll has 4 more hours till expiration.
In a separate tweet, PlanB noted that the current Bitcoin price pattern is similar to the 2013 style. The analyst explained:
New dot: May close $37,341.. -35% — we knew Bitcoin would not go up in a straight line and several -35% drops are possible (and indeed likely) in a bull market. Starting to look like 2013. S2F(X) model intact.
The S2F model has faced several criticisms over the years, and skeptics tend to look for loopholes in its prediction. A few hours ago, Wu Blockchain pointed out that Bitcoin’s closing price on the 15th of May contradicts S2F’s earlier prediction on the cryptocurrency. The S2F model had predicted that BTC would reach $74,474 around the 15th of May. However, the coin closed at about $46,700 on the day. Wu Blockchain continued:
Let’s see. Plan B once said that of a bitcoin of $100,000 is not witnessed before 2022, the model will be invalidated.
Bullish predictions on Bitcoin
PlanB has stated several times that BTC would reach $100,000 between April and September this year. BTC was growing gradually, moving toward the price target before the recent price correction.
At the end of 2020, there were several bullish and bearish predictions on the price of Bitcoin. Citibank analyst Tom Fitzpatrick placed a target of $318,000 on the cryptocurrency. Also, Bloomberg analyst Mike McGlone forecasted that BTC would trade at $170,000 by 2020. In early 2020, Morgan Creek CEO Mark Yusko said that Bitcoin would top $100,000 in 2021 or 2022. Yukso went further to predict that the coin could climb about $400,000 to $500,000.
According to a Finder.com survey on BTC predictions for 2021, several crypto experts said Bitcoin would continue to soar till mid-2021. About 58 percent of 47 experts believed that the Bitcoin rally would continue till June this year.
At press time, Bitcoin is trading at $37,218. The digital asset has added nearly 3 percent in the last 24 hours and shed more than 34 percent in the last 30 days.
Credit: Source link