New Bitcoin indicator provides ambitious forecast

One model that has been pretty accurate so far is now priced at $ 288,000 for Bitcoin – maybe this year.

In a blog post dated April 27, PlanB revealed the new predictions based on the stock-to-flow model. 

This time, the model was combined with gold and silver, the new version being called ‘ S2FX ‘. Stock-to-flow calculates value by comparing the number of new Bitcoins and circulating ones with the existing supply.

The model turned out to be very accurate, with even the recent 60% decline also falling within the forecast range.

Prior to S2FX, the previously updated version estimated a price of $ 100,000 between 2020 and 2024. The new model provides a much more ambitious forecast. “

The formula of the S2FX model can be used to estimate the market value of the next phase / cluster. PlanB said.

“This translates into a BTC price of $ 288k.”

S2FX introduces the idea of ​​Bitcoin clusters as it moves between different use cases. 

According to PlanB, cryptocurrency is already considered a ‘ proof of concept ‘ for ‘ payments ‘, ‘ electronic gold ‘ and currently a ‘ financial asset ‘. Each of these labels is linked to a price point cluster on the S2F chart and each cluster gives a different price estimate. 

“Each of the four identified BTC clusters has a very different S2F market value, which seems to be consistent with halving and changing claims around Bitcoin.”

So far, the ‘ financial asset ‘ cluster , which produces the largest S2F value and market value, is $ 25.1 billion and $ 114 billion, respectively.