- The Sun is the most popular newspaper in the UK with 33 million readers.
- The stock-to-flow metric shows that BTC’s price can spike up to $1 million in less than a decade.
The Sun, the most popular newspaper in the UK, recently published an article on Bitcoin’s limited supply for its 33 million readers. The report notes that 85% of all BTC has been mined and even includes a viral tweet by popular crypto trader “Rhythm,” who said: “scarcity is about to kick in.”
The Sun also analyzed Bitcoin’s stock-to-flow ratio:
“Previous analyses have suggested that the coin’s value could jump as it becomes more scarce over time. Trusted crypto-analyst PlanB recently calculated that the coin could ten times its current worth to around £82,000 per Bitcoin by March 2020.
Others are less optimistic and argue that a recent value boom fed by Facebook’s announcement that it is creating its own cryptocurrency will taper off by 2020.”
Stock-to-flow is a metric used to forecast the price of assets like gold. When this is applied to Bitcoin, it indicates that BTC’s faltering supply could trigger a rally and spike the pice up to $1 million in less than a decade.
A Twitter account going by “PlanB” tweeted:
"This is becoming scary: using Oct instead of Dec data, Stock-to-Flow model fit improves to 99.5% R2! Model error was mainly caused by Nov2013 and Dec2017 ATH, so sampling without ATH gives less noise. Predicted #bitcoin prices increase: $100K (2020+), $1M (2024+), $10M (2028+)..."
BTC/USD daily chart
Currently, the price of BTC/USD has fallen from $11,850 to $11,656 this Tuesday. BTC/USD has had seven straight bullish sessions, wherein the price went up from $9,500 to $11,850, charting a 25% increase in valuation. The price is trending above the 20-day simple moving average (SMA 20), SMA 50 and SMA 200 curves.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.