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With three years left on the forecast, popular analyst PlanB and Bloomberg strategist Mike McGlone have stated confidence in a continuing BTC uptrend.
Stock-to-flow (S2F) creator PlanB has expressed confidence that Bitcoin (BTC) will hit the average price of $288,000 in the period leading to 2024. The analyst PlanB revealed this after BTC/USD shed 7% on Saturday, June 12, 2021.
In recent days, there have been indicators of a SOPR reset and The Crypto Fear and Greed Index (CFGI) dropped to its lowest level since the March 2020 sell-off that resulted from the Covid-19 pandemic.
However, many traders seem reluctant to pitch in believing this to be a sign of a deeper price correction that is to come. There is also concern about the failure of BTC to rise above $40,000, and what this could mean in the long term
S2F Index Still on Track for BTC, States PlanB
Using the S2F, which has proved accurate in charting the growth of BTC, PlanB asserts that we should expect the current BTC bull run to continue.
“$288K still in play,” PlanB said.
The $288,000 price tag is an average value reached by the Stock-to-Flow Cross-Asset (S2FX) iteration. It is based on the current halving cycle, a four-year period that will end by April 2024. He explained:
“It would really surprise me if bitcoin would not touch the black S2FX model line this phase. Regardless of current volatility, yellow green and blue dots will be (much) higher than red orange dots.”
Recall that Cointelegraph had earlier pointed out that the level of spot price deviation from S2F readings has reached levels suggestive of a rebound. PlanB noted that the deviation follows the same trend as it did in 2013, with S2F ~10 and in 2017 with S2F ~25.
“Just the usual inertia after a halving,” he stated.
Bullish Ace Underway
Senior commodity strategist at Bloomberg Intelligence Mike McGlone has also lent his voice to the power of the halving that took place last year, adding to the optimism over current market directions.
Provided past trends hold true, he surmised that the reduction in BTC supply would cause prices to rise and asserted this was a “bullish ace” with a potential to boost the price of BTC.
Mike’s comment comes as Taproot locks in for node activation. Taproot, described as BTC’s most important network upgrade is due in November and amongst other things, improvements will further make it cheaper to use key features like multi-signature transactions on the network.