Bitcoin Price May Hit $288K By 2024, S2F Model Suggests

Even though bitcoin failed to sustain the $12,000 level once again, the benchmark cryptocurrency appears to still be on track to hit $41,000 by end of 2020, say analysts.

Bitcoin is in consolidation at $11,000 after the price breakout on July 27. An analyst, who goes by the name PlanB, says bitcoin's price behavior clearly trends the same way it did in previous halvings, Cointelegraph reported. The analyst's stock-to-flow model suggests bitcoin will hit $288,000 before 2024.

Since it is just three months after the May halving, there's still a lot of time for a full market cycle, the analyst said, advising bitcoin holders to wait. "Patience is a virtue," he said on Twitter.

PlanB’s S2F model estimates that bitcoin’s entire market cap will reach $1 trillion after the May 2020 halving. The model is based on the flow of new supply relative to the existing supply. It looks at gold and silver as the benchmark and argues gold has held to its value for a long time because of its scarcity. That is something bitcoin also has because there would only be 21 million bitcoins in existence. The last bitcoin will be mined by the year 2130.

At $1 trillion market cap, that translates to $55,000 per bitcoin.

In his updated Stock-to-Flow Cross Asset Model (S2FX), PlanB put a target of $288,000 before 2024.

Another analysis, published by Ecoinometrics has a more bullish outlook for this year.

Ecoinometrics used the average growth of bitcoin after the previous halving to predict a possible price in the future.

In the chart above, the blue cloud represents any potential upper and lower price for bitcoin with the ideal price plotted. Ecoinometrics target $41,000 as the possible bitcoin price by the end of 2020. The chart also suggests that even if the price of bitcoin stays at the lowest possible range, it is still bullish, predicting that bitcoin will be above $50,000 four hundred days after the May 2020 halving.