After shaking off the worst selloff in months without a scratch, the current Bitcoin uptrend seems completely unstoppable. Despite the incredible momentum that took the cryptocurrency from $10,000 to $40,00o in a flash, the creator of the world’s most cited valuation model says the asset has yet to reach the “point of no return.” When that happens, the real parabolic advance will unfold.
Here’s what to expect from Bitcoin when it enters the final phase of its bull run later this year.
PLAN B: BITCOIN RALLY HEATS UP, BUT HASN’T REACHED “THE POINT OF NO RETURN”
The sudden surge of demand coupled with diminishing supply, has caused a bullish breakout that send the price per BTC soaring by more than five times over. The uptick in price appreciation has long been predicted by Plan B’s stock-to-flow model (S2F), but has only recently started to show validity.
— PlanB (@100trillionUSD) January 14, 2021
The model had some investors expecting the cryptocurrency to trade above $50K by May 2020, but that date came and went, and Bitcoin has still yet to reach such a level. But according to the model’s creator, it very well could soon reach that number and then some, once Bitcoin reaches the “point of no return” in this parabolic cycle.
CAN HISTORY CALCULATE THE CRYPTOCURRENCY’S REMAINING UPSIDE?
And while there are stunning comparisons between now and the 2017 peak, Plan B’s model shows that the real bull run hasn’t even begun yet. That’s the point of no return the model’s creator is referring to.
Each point of no return offered 600-800% ROI following | Source: BTCUSD on TradingView.com
Superimposing the previous bull market over the current one, puts the top at a trajectory of around $325,000. Analysts have offered targets reaching as high as $400,000 to $500,000 per coin in the long-term.
Bitcoin rising higher from here is less important of a question than how high it goes, and when the point of no return begins.