• Advertise
  • Submit a Press Release
  • About Us
NewsBTC
Bitcoin & cryptocurrency news
Crypto.com Logo
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
    • Research
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Learn
    • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
    • Categories
  • Events
  • Play GamesTry
  • Play Casino GamesTry
  • Play FinanceTry
  • Claim 7 BTCTry
No Result
View All Result
Breaking News: Bitfinex And Crypto Bank OrionX Forged Partnership To Broaden Presence In Latin America
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
    • Research
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Learn
    • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
    • Categories
  • Events
  • Play GamesTry
  • Play Casino GamesTry
  • Play FinanceTry
  • Claim 7 BTCTry
No Result
View All Result
Bitcoin News
No Result
View All Result
Breaking News: Bitfinex And Crypto Bank OrionX Forged Partnership To Broaden Presence In Latin America

Bitcoin Price Could Surge To $50,000 By Mid-2021: Here’s Why

Nick Chong by Nick Chong
3 years ago
in Bitcoin
Reading Time: 3 mins read

Since Bitcoin (BTC) hit $20,000 for the first time in December 2017, analysts have been wondering when the cryptocurrency will break its next big price milestone next. The closest round-number milestone from $20,000 is arguably $40,000 or $50,000.

Related Reading: Watch Out, This New Bitcoin Scam Is All Over Youtube

While $50,000 is 450% higher than the current price of just shy of $9,000, a model backtested to be quite accurate in the volatile crypto market suggests that Bitcoin will hit this auspicious price point in the middle of 2021. Here’s more on why.

Bitcoin Will Likely Hit $50,000 In 2021, Model Predicts

In Spring of last year, a user on Twitter named PlanB suddenly rose to notoriety within the cryptocurrency space when the analyst, later revealed to be a quant at a European institution, revealed a revolutionary Bitcoin price model.

The model, dubbed the stock-to-flow model, equated Bitcoin’s scarcity, derived from the above-ground supply divided by the rolling issuance of the coin, to the asset’s market cap. It determined, to a 95% R squared, that after the BTC block reward reduction in May 2020, a coin will have a fair value of anywhere between $55,000 to $100,000.

While Bitcoin will seemingly eventually achieve that price point due to the historical accuracy of the model, the model does not predict when the surge will occur.

GeertJancap, a Twitter user interested in disruptive technologies, recently tried to solve this mystery of when should Bitcoin trade at parity with the stock-to-flow model.

He noted in a semi-crypto-viral tweet that per his transfer function model of Bitcoin’s price, BTC’s price will catch up to PlanB’s lofty model a year after the halving in the middle of 2021.

The model appears to model the bubbles ánd bear markets fairly well. It confirms a certain inertia of price reaction, so a lag ánd overshoot. Model would predict: Price will catch up with S2F ratio a year after the halving. And overshoot by ~ 2x. (3/3) h/t Tom! pic.twitter.com/kWecmWgH5e

— GeertJancap (@Geertjancap) January 15, 2020

 

Related Reading: Crypto Tidbits: Elon Musk Pokes Bitcoin Bear, Japanese Giants Delve Into Cryptocurrency Mining, Baidu’s Blockchain Beta

Others Want it Sooner

While $50,000 by mid-2021 would already be an astounding achievement for a market as uncertain as Bitcoin, some want this milestone (or at least a price around $50,000) to come even sooner than 18 months from now. Much sooner.

Related Reading: This Late Night Host Just Exposed Millions to Bitcoin, Again

Ex-Goldman Sachs partner Kelvin Koh, who is now a partner at blockchain advisory and investment fund The Spartan Group uses, recently noted on Twitter that he is certain BTC’s recent move from $7,000 to vaguely $9,000 is “just the start” of something much bigger.

Something bigger, he claimed, being his sentiment that this year, the price of BTC will hit $40,000, some 400% higher than current prices. He specifically cited his firm’s belief that there will be a “supply crunch post halving.”

What happened to the guys that thought that BTC halving is priced in? They are in for a rude surprise. This move from $7K to $9K is just the start. The real parabolic move is ahead of us after the halving in May. pic.twitter.com/mb4tLZ9Vcj

— SpartanBlack (@SpartanBlack_1) January 15, 2020

There’s also the chief executive of Nexo, who said that BTC could hit $50,000 by the end of the year, as crazy as this may sound.

Halving Bullish Regardless

Whatever the case, the halving has seemingly been proven to be bullish for BTC in the long term. 

Melik Manukyan, a prominent Bitcoin commentator and engineer, recently posted the Twitter thread below, showing that the scarcity of the leading cryptocurrency should lead to dramatic price appreciation with a multi-month lag following the event.

The engineer remarked that halvings will have a large impact on the supply-demand economics of the BTC market, which should eventually result in prices heading higher to a decrease in mined supply being sold on the market.

Featured Image from Shutterstock
Tags: 2021bitcoinhalvingplanbScarcity
Tweet123Share250ShareSend
Nick Chong

Nick Chong

I am a writer who has been following Bitcoin for years now. My insights and interviews have been featured in leading publications in the industry such as LongHash and Decrypt. I own a small amount of Bitcoin.

Related Posts

Bitcoin (BTC)

Traders Act Fast As Binance Australia Unveils Bitcoin Discount For Limited Period

5 days ago
Bitcoin (BTC)

No All-Time High For Bitcoin In 2023, Former BitMEX Head Arthur Hayes Predicts

6 days ago
Bitcoin

Bitcoin Shows Recovery: Did This Historical Line Act As Support Again?

6 days ago
Bitcoin Core

Bitcoin Core 25.0 Hits The Market: A Sneak Peek Into The Future

6 days ago
Bitcoin (BTC)

JPMorgan Predicts Bitcoin (BTC) To Revisit $45,000, Here’s Why

1 week ago
Bitcoin

Bitcoin Exchange Inflows Mostly Coming From Loss Holders, Weak Hands Exiting?

1 week ago

Premium Partners

Play Finance

Now Trending

  • Potential 20x+ Crypto Presales 2023

    4 days ago
  • Willing to buy new crypto: Here are the best 10...

    4 days ago
  • Best Crypto Meme Coin Presales in 2023

    4 days ago

Top Casinos

BitStarz

BitStarz

Review · Visit
Punt Casino

Punt Casino

Review · Visit
Trust Dice

Trust Dice

Review · Visit
mBit

mBit

Review · Visit

Sportsbooks

1xBit

1xBit

Review · Visit

Press Releases

  • According to experienced traders, Aave (AAVE) and InQubeta...

    2 hours ago
  • Avalanche price at important support level, Quant price to...

    3 hours ago
  • Looking for the next Crypto That Could 100x? Check...

    3 hours ago
  • Tradecurve (TCRV) Presale Bonus Attracts More Investors As...

    4 hours ago
  • XRP and Big Eyes Coin (BIG): Riding the FOMO Wave in the...

    4 hours ago

About Us

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Cryptocurrency news

  • Bitcoin
  • Ethereum
  • Ripple
  • Chainlink
  • Cardano
  • EOS
  • Tezos

Technical Analysis

  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Ripple (XRP)
  • Chainlink (LINK)
  • Cardano (ADA)
  • Tezos (XTZ)

Company

  • Advertising
  • Comments Policy
  • Privacy Center
  • Sitemap
  • About Us
  • Contact

© 2023 NewsBTC. All Rights Reserved.

  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
    • Research
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Learn
    • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
    • Categories
  • Events
  • Play Games
  • Play Casino Games
  • Play Finance
  • Claim 7 BTC

© 2023 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.