Bitcoin's (BTC) Price Floor in March Defined by Stock-to-Flow Model Creator. What's Next?

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Mon, 03/02/2020 - 05:59
Alex Dovbnya

While bears are already eyeing the $3,000 level, PlanB predicts that the Bitcoin (BTC) price is unlikely to plunge below $8,600 this March

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PlanB, the anonymous crypto analyst who's famous for creating Bitcoin's stock-to-flow model, doesn't expect the price of BTC to fall below $8,600 in March. The analyst also didn't rule out that the leading cryptocurrency could surge much higher than that.

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'So far, so good'

Notably, PlanB's prediction is not based on the S2F model, which takes into account Bitcoin's scarcity to measure its price growth. The analyst says that it's an 'out-of-sample' test.

The price of Bitcoin dropped to as low as $8,410 on March 1, and it was trading below the $8,600 floor when Plan B posted the prediction. In his words, it makes the test more interesting.

Notably, he accurately predicted that BTC would stay above $8,200 in February. 

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On track to $100,000 

After a recent price drop, BTC once again touched its S2F model price, which appears to be the case in the run-up to every halving. Hence, its followers weren't unfazed by the price collapse that took place last week. At press time, the crypto king is sitting at $8,626.

PlanB believes that BTC will be trading at $10,000 after the halving. He still stands by his long-term S2F-based prediction that the digital gold could potentially reach at least $100,000 by December 2021.  

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About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at alex.dovbnya@u.today.

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