- PlanB projects that, using past data and important technical signs, Bitcoin will hit $500,000.
- After the halving, the RSI trend of bitcoin points to a bullish increase, with considerable market volatility anticipated.
Reputable cryptocurrency expert PlanB has predicted, based on past evidence, that the price of the flagship cryptocurrency Bitcoin may soon go “vertical.”
Renowned for his stock-to-flow (S2F) model of Bitcoin price prediction, PlanB recently revealed that historical data indicates that, following a halving, Bitcoin miner revenue takes two to five months to recover and that “after that, bitcoin price goes vertical.”
Historically, bitcoin miner revenue recovers 2-5 months after a halving, and after that bitcoin price goes vertical🔴 pic.twitter.com/AdCQSvvsbq
— PlanB (@100trillionUSD) May 14, 2024
Views into the Stock-to-Flow Model
For many investors, PlanB’s stock-to-flow approach has proven a trustworthy signal. His most current study shows that Bitcoin miner revenue usually bounces back two to five months after each halving.
The price of Bitcoin has typically moved sharply upward after this recovery phase. As per PlanB, this trend is going to continue and Bitcoin is about to climb vertically.
The study by PlanB is supported by historical patterns. Over time, bitcoin miner revenue has clearly increased; peaks frequently appear in the months after a halving.
As an indication of possible buying pressure, a high relative strength index (RSI) frequently corresponds with this increase in revenue. The RSI and miner revenue correlation implies that the market is getting ready for another big price increase.
Forecast of Bitcoin Prices
PlanB projects that BTC will hit $500,000 this year based on important technical signs and their historical impact on the price of the cryptocurrency. Both the present market patterns and the stellar historical performance of Bitcoin after halving events support this forecast.
The relative strength index (RSI), a technical indicator used to assess the current and historical strength or weakness of an asset’s prior price fluctuations, has caught PlanB’s attention because it is replicating a historical pattern that previously indicated significant price increases.
This implies that the market conditions are ideal for a further notable rise in the price of Bitcoin.
Interpreting Data and Market Unpredictability
In further detail, PlanB said that the RSI of Bitcoin is rising as we get closer to the next halving event, which will reduce the number of freshly minted tokens in half the following year.
This rising trend of the RSI, in his opinion, ought to have investors ready for market shock. Though a straight rise is improbable, the data points to a robust positive trend after the halving.
CoinMarketCap data shows that the price of BTC is currently about $65,862.98, up 6.42% from the previous day. With a 7.03% increase during the last week, Bitcoin has demonstrated a bullish posture. This performance of late confirms PlanB’s forecasts and shows rising investor confidence.
Ahead Patterns and Forecasts
PlanB projects that in 2024 there will be a bullish spike with the RSI close to 90. He does, meanwhile, also predict a bearish trend in 2025 and 2026. This prediction emphasizes the need to know market cycles and be ready for possible downturns, even in times of excellent performance.
As previously reported by ETHNews, Bitcoin was once expected to hit $100,000, provided yield rates held steady between 6 and 7%.
Although this prediction was not realized, the present research and market movements indicate that Bitcoin still has a lot of upward potential, particularly in view of PlanB’s projection.