Benzinga - Prominent cryptocurrency expert, PlanB, has hinted at a potential surge in Bitcoin's (CRYPTO: BTC) value, possibly reaching into the six-figure range within the next year.
During a discussion on his YouTube channel, which boasts over 65,000 subscribers, PlanB pointed out a recurring trend in Bitcoin's relative strength index (RSI), a tool used to measure an asset's momentum.
"It would mean that the RSI is going to rise from here towards the halving. (There will be) volatility, of course. It will not be a straight line. Then a bull market in 2024 with an RSI around 90 – a little above, a little below it – it doesn’t matter. And then a bear market after that in 2025-2026," he said.
To make his Bitcoin price predictions, PlanB employs the stock-to-flow (S2F) model, which is typically used for assessing commodities like precious metals by comparing an asset's price to its available supply.
According to this model, Bitcoin's value could reach $60,000 by the anticipated halving event in April 2024, where the rewards for BTC miners are reduced by half.
This could then be followed by a significant jump, positioning Bitcoin's value anywhere between $300,000 and $500,000.
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Elaborating on this, PlanB said, “And in Bitcoin price, it will look like this. So we are here at the moment at this $30,000 level, stuck for months there. And in this scenario that I just showed in RSI, this is the price that belongs to that. So it would rise with volatility towards the halving around the stock-to-flow value of $60,000."
"And then the bull market really goes on, the second stage of the bull market with FOMO (fear of missing out) and greed, and then in this scenario, it’s a rather conservative bull market that bottoms out or flattens out just below the stock-to-flow value of $500,000. So this averages at $300,000, which is still pretty okay, I would guess. It’s 10x from here," he added.
Currently, Bitcoin's market price stands at $26,450, witnessing a 7.4% drop over the past day.
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