Bitcoin was very quiet last weekend, which is why it did not manage to crack the USD 12,000. According to the stock-to-flow model, however, this is not as bad as BTC is still on track, as the upcoming red dot for August will show.
Bitcoin stock-to-flow sees $ 55,000
The stock-to-flow model (S2F) was developed by a crypto analyst named PlanB, who always publishes the latest updates on it. First published in March 20th, 1919, it examines the relationship between the production of supply and the currently available inventory, essentially calculating the Bitcoin value by the scarcity. The model mapped the price of Bitcoin after three halving events with a high degree of accuracy. In 2012 and 2016, the BTC price lagged a bit before entering the bull market afterwards. The first half of 2020 has so far been the same, which is why a big bull run is predicted for 2021, should history repeat itself. According to the S2F, the price will move towards $ 55,000. The third red dot has been pictured and is now higher than the previous two at $ 11,850. You have to note, however, that August is not over yet and this point is based on the current prices. PlanB has indicated the high of December 2017 as the next hurdle to be overcome.