After surging to almost $10,200 over the weekend, bitcoin is now retracing. The flagship cryptocurrency has depreciated by 2.28 percent in the last 24 hours to trade at $9,859.66.
While many are now bearish on the top coin as they expect it to experience a stronger pullback, a renowned crypto analyst, PlanB, notes that BTC is unlikely to fall below $8,200 again. He also posited that the coin is still on track to skyrocketing past $100k before the end of next year.
BTC Will Not Fall Below $8,200 In 2020
In early January 2019, the creator of the popular stock-to-flow pricing model, PlanB, predicted that BTC would not fall below the pivotal 200-week moving average. Notably, bitcoin stayed above the 200WMA as he had predicted. At the same time, PlanB said he expected bitcoin to be trading at around $8,000 leading up to the May halving.
In a recent tweet thread, PlanB has updated his earlier predictions. He astutely observed that bitcoin will not fall below $8,200 this year. In other words, bitcoin will not be testing the $6k or $4k zone like some doomsayers would have you believe. This is a welcome affirmation for bitcoin investors who might have been spooked by the recent brutal rejection from the $10k psychological level.
PlanB also opined that bitcoin should be hovering above $10k by the time miners’ rewards are halved in May. Needless to say, investors should take 4-digit BTC as an opportunity to swell before the spaceship to $100,000 takes off.
Bitcoin En Route To Hitting $100,000 By December 2021
While forecasting bitcoin’s price trajectory in the future is quite difficult, PlanB’s stock-to-flow analysis offers a little insight. According to him, bitcoin is still trading consistent with the S2F model. PlanB further quipped that a full-blown bull run will begin after the May halving. In the end, he predicts that this monster rally will have bitcoin smashing $100,000 before December 2021.
Morgan Creek’s Anthony Pompliano also believes bitcoin will catapult to $100,000 by the end of 2021. After block rewards are reduced from 12.5BTC to 6.25BTC, the demand for the top crypto will increase while the supply remains constant. This, per ‘Pomp’, will spur a face-melting rally to $100,000 before 2021 ends.
These forecasts of bitcoin blowing past $100k are indications of a bright future ahead for the king of cryptocurrencies. BTC could experience pullbacks along the way but PlanB assures investors that a crash below $8,200 is unlikely. After halving, the price of BTC will start its ascent to the coveted $100,000 mark.