Renowned for his bold predictions in the cryptocurrency space, PlanB has put forward an optimistic forecast for Bitcoin, confidently asserting that it could reach $300,000 by the end of 2026.
Bitcoin and Its Forecasts
Recent discussions by PlanB revealed that many investors consider his target level overly optimistic. Nevertheless, he maintains a positive outlook regarding Bitcoin’s price trajectory, which aligns with his long-standing forecasts.
> PlanB: "Currently, 60% of people think Bitcoin won’t hit $300,000 by 2026. I believe it will, approaching our stock-to-flow model target of around $500,000."
Reliability of the Stock-to-Flow Model
The stock-to-flow model, upon which PlanB bases his projections, is founded on the principle that scarcity affects an asset’s value. His calculations suggest Bitcoin’s price could range between $250,000 and $1 million. The model gained credibility due to effective predictions in 2021, even though it later faced backlash when Bitcoin did not adhere to its forecasts.
> PlanB: "The model predicts a range between $250,000 and $1 million, with an average around $300,000 to $600,000. I expect it to rise higher than many assume."
What Does the Realized Price Indicate?
The realized price indicator, another metric mentioned by PlanB, assesses the average prices of recent Bitcoin trades. Currently, Bitcoin trades above all major realized price groups, which PlanB interprets as a sign of market strength.
> PlanB: "This pattern is typical of classic bull markets. The two-year average is above the realized price; the six-month average is above the two-year, and Bitcoin is above all. Therefore, there’s no negative market signal right now."
From PlanB’s perspective, with Bitcoin prices surpassing the realized price indicators, no negative market signals are evident. If PlanB’s predictions are validated, Bitcoin reaching $300,000 by 2026 could assert the credibility of his stock-to-flow model, potentially reshaping perspectives around its predictive power.
