This Analyst Says a Bitcoin Target Of $50,000 To $100,000 by 2021 Is “Tame”
Bitcoin price may be falling once again into a downtrend and is at risk of revisiting bear market lows not seen since earlier this year.
However, even targets of $50,000 to as much as $100,000 forecasted by Bitcoin’s highly-cited stock-to-flow model may be considered “tame” or “conservative” according to one respected crypto analyst.
Stock-to-Flow Bitcoin Target of $50-100K By 2021 Called ‘Tame’
It’s been an interesting year for the first-ever cryptocurrency. It started off the year trading within a tight accumulation range along the current bear market bottom, then promptly took off like a space rocket once again, spiking to a high of $14,000 from $3,100 in the matter of a mere few months.
Related Reading | Monthly Bitcoin Indicator Flips Bearish, But Still Following Path to New ATH
With the crypto asset capable of jaw-dropping rallies like the short-lived one earlier this year, or the bull run it went on during the 2017 crypto hype bubble, it’s not uncommon to hear to Bitcoin price predictions ranging as high as $100,000 to a million dollars per BTC.
Technical analysts utilize a number of tools to assist them in making such lofty predictions. One such model that’s become the topic of much discussion around the cryptocurrency and finance industry, is the stock-to-flow model popularized by crypto analyst Plan B.
The model predicts that Bitcoin will end the year in 2021, at prices ranging from $50,000 to as much as $100,000 per BTC.
However, another analyst, who focuses on long-term price chart analysis using the Bitcoin’s logarithmic growth curve, believes that these wild targets are actually “tame” or even “conservative” compared to the constraints of the curved trendlines acting as the floor and ceiling of Bitcoin’s bear and bull cycles.
Seems like quite a tame target for the S2F model that something a lot more conservative such as the log curve would also put in…. pic.twitter.com/fZYogKIfje
— dave the wave (@davthewave) December 17, 2019
According to a Bitcoin price chart shared by Dave the Wave, Bitcoin still has plenty of headroom within the logarithmic growth curve come 2021, that $50,000 using the model would indeed be on the mid-range of what the asset could be theoretically capable of.
If Crypto Has Bottomed, Buying BTC Could Lead to Life-Changing Gains
The analyst is convinced that Bitcoin has bottomed, or is close enough to its local bottom, and will soon begin to curve upward once again and travel along the bottom base of the logarithmic growth curve until the crypto asset goes parabolic once again and makes a run for the top of the formation.
Related Reading | $20K Day: A Look Back At Bitcoin’s Two-Year Rise and Fall
If Bitcoin price continues to follow the logarithmic growth curve throughout its lifecycle, by the year 2030, the crypto asset shouldn’t be priced any less than $100,000 per BTC. With just ten years until the cryptocurrency reaches such numbers, whether its the bottom or not now, it may still be a great time to buy.
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