Renowned quantitative analyst PlanB, known for his popular YouTube channel, recently shared an optimistic forecast for the price of Bitcoin (BTC) in late 2024.
According to PlanB, the price of BTC is not just likely, but certain to surpass the $100,000 mark by the end of the year. This prediction is based on the historical impact of the April halving event on BTC miner revenues.
During a strategy session, PlanB explained that the recovery of mining revenues is inevitable, leading to the $100,000 price target. Following the halving, mining revenue dropped by 50%, affecting the entire industry. However, based on past trends, mining revenue has typically recovered within four to eight months. Therefore, with the current price of $60,000, it is expected to exceed $100,000 this year.
Additionally, PlanB emphasized the continued relevance of his stock-to-flow model, which links BTC’s scarcity with its market value. According to the model, BTC is projected to reach an average price of $500,000 in the next four years. PlanB stated, “I have updated the model, and the parameters have not changed significantly. The target for 2024-2028 remains around $500,000 on average.”
PlanB also discussed the dynamics following the halving and his expectations for the upcoming years. He noted that the error in the model decreases after each halving, leading to an increase in its value. However, there is typically a lag in the Bitcoin price catching up to the model’s value. This pattern is expected to hold true for the current halving as well. PlanB predicts that the error will continue to decrease gradually, reaching the model price over time. He believes that the peak of the bull market will occur in 2025, about a year and a half after the halving, with a potential price around $200,000.
As of now, the BTC price stands at $63,892.33, reflecting a 6% increase in the last 24 hours.
Disclaimer: The views and opinions expressed in this article, including those of the author and any individuals mentioned, are for informational purposes only and should not be considered as financial or investment advice. Investing or trading cryptocurrencies carries the risk of financial loss.
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