By November, Bitcoin will have surpassed $98K, according to the Stock to Flow Model

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PlanB’s Bitcoin stock to flow model explains a scarcity-value link shown to be a reliable long-term predictor of cryptocurrency price movements.

The S2F model presently predicts that BTC will reach $98K by November in the worst-case scenario, which is exceptionally optimistic considering recent market movements.

The Methodology and Accuracy of S2F

PlanB has utilized statistics to describe a definite link between the value and scarcity of a specific item when comparing Bitcoin to precious metals like gold and silver. The underlying idea is that, assuming demand remains steady, the easier it is to create an item, the harder it is to keep value.

According to PlanB, predatory governments enforcing negative interest rates, billionaires hedging against inflation, and institutional investors will boost demand. This data, along with the power laws and fractals observations that BTC’s price frequently revolves around, has resulted in a model that has held up for the past two years.

There’ll be a lot of turbulence ahead.

The route to a six-figure BTC price will not be easy. While PlanB’s most recent tweet presents a positive picture of Bitcoin towards the end of the year, he also mentions that there may be some “weakness” in the coming months owing to a “more fundamental cause” that he will explain later.

The recent death cross-development might influence this projected weakening.

According to him, long-term objectives for BTC have not changed, and according to him, they still seem better than ever. Therefore it will be critical for Bitcoin holders to stay the course and HODL.

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