In this video, I discuss my latest price targets for Bitcoin, using Plan B’s “stock to flow” and S&P 500 correlation models. Using these, we can determine that Bitcoin’s fair value is currently somewhere between $21,000 and $51,782.
If Plan B’s models continue to work, there is a very good chance that institutional investors begin to front run the models. This could take us to Bitcoin prices of $200,000 to $500,000 much more quickly than most people believe to be possible.
I am quite convinced that Bitcoin will be trading at new all-time highs (above $20,000) by the end of 2020.
Not investment advice! Consult a financial advisor.
Plan B’s stock to flow model:
View at Medium.com
Stock to flow model chart of Bitcoin:
S&P 500 current price:
Plan B’s tweet on Bitcoin and S&P 500 correlation:
– #Bitcoin and S&P500 are correlated (95% R2) and cointegrated (so probably not spurious)
– Current S&P level implies BTC $18K (or S&P to go down)
– This is consistent with S2FX model: $288K BTC at S2F56 -> it implies $4300 S&P
– Money printing (QE) pumps both S&P and BTC🚀 pic.twitter.com/0iW8WpEpt1
— PlanB (@100trillionUSD) June 17, 2020
Dan Morehead on CashApp and Bitcoin:
Pre-halving, @CashApp was buying 20% of all newly-issued BTC. Now it’s ~40%
You can go round and round with pundits on valuing #Bitcoin. One thing that is certain – when net supply goes way down – and demand is constant or growing – the price goes up.https://t.co/oDM9D1FbjZ pic.twitter.com/8e3kHRju4W
— Dan Morehead (@dan_pantera) November 2, 2020
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