Key Points
- Bitcoin proponent PlanB predicts Bitcoin price to hit $150K by the end of 2021 and $800K by 2025.
- PlanB’s model suggests Bitcoin price could reach $0.4 million by 2026 and 2028, with a dip to $300K in 2027.
PlanB, a well-known advocate for Bitcoin (BTC), has made a daring forecast for the upcoming years. His predictions for Bitcoin’s value are based on the power law and the stock-to-flow (S2F) model.
He anticipates that Bitcoin will end this year trading around $150K, in line with the concept of exponential returns.
Bitcoin’s Future Outlook
In PlanB’s most optimistic scenario, Bitcoin’s price will reach $800K by the end of 2025. However, he expects a bearish trend to set in after this period, lasting until 2028.
PlanB predicts Bitcoin’s price to close at around $0.4 million in 2026, dip to $300K in 2027, and rise again to about $0.4 million in 2028.
Previously, PlanB noted that the power law, which is characterized by diminishing returns, had indicated a Bitcoin peak at around $210K and a bottom of at least $70K.
On the other hand, the S2F model suggested a top of at least $500K and a bottom of over $100K. However, these figures are subject to change based on actual price action in the forthcoming months.
Increasing Demand for Bitcoin
The demand for Bitcoin has been consistently high in recent weeks, driven by significant cash inflows into spot BTC ETFs. The spot Bitcoin ETFs in the United States alone have accumulated more than two months of miners’ market supply.
Furthermore, Bitcoin’s supply on centralized exchanges has reached multi-year lows, indicating increased demand.
According to data from Glassnode, approximately 22,647 BTCs, worth over $1.57 billion, were withdrawn from centralized exchanges last week.
The recent approval of spot Bitcoin ETFs in Hong Kong, Thailand, and Australia has greatly improved overall Bitcoin sentiments. Additionally, changes in crypto regulations in major markets such as Europe, India, and the United States signal the inevitable mainstream adoption of digital assets and Web3 products.
Midterm BTC Price Targets
Reports suggest that Bitcoin’s price is targeting $83K next, after successfully breaking out of the resistance level between $72K and $74K. Crypto analyst Ali Martinez notes that Bitcoin has established a strong support zone between $69,380 and $67,350, where approximately 1.97 million addresses acquired around 964K BTCs.
Bitcoin’s price action has significantly influenced the entire altcoin industry, indicating a high correlation. A market reversal seems to be on the horizon, backed by a bearish divergence on the Relative Strength Index (RSI).
A reversal in Bitcoin dominance and the ETH/BTC pair could trigger the highly anticipated altseason.
