Bitcoin has seen an extremely strong rally since the March low of $ 3,500. At its recent all-time highs of $ 19,950, the coin was roughly 470 percent above its March lows. BTC is the best macro investment since mid-March – if you don’t count Ethereum.
However, analysts believe that Bitcoin will continue to grow in the coming months. They cite macroeconomic factors that will drive parabolic growth in this nascent space.
Bitcoin could hit $ 100,000 in the next nine months
Dan Tapiero, a macro investor and gold bull, believes BTC will gain another 500 percent in the next nine months:
“Remarkable when you consider that #bitcoin was 4,000 9 months ago. Almost a 500% rally to date. A 500% rally from here brings us to 100k #btc. Don’t think it will happen in 9 months, but it would just repeat what it did in the past 9 months. “
Tapieros is a big bitcoin bull himself, expecting currency inflation and a falling US dollar to drive extreme growth in the crypto asset markets.
Financial analyst and writer Preston Pysh disagreed, saying he thinks “9 months is exactly what it takes to get the next 500%. End of August 2021 „.
While Pysh does not explain his train of thought here, he has carried it out on podcasts and other tweet threads discussing the prospects for the leading cryptocurrency in the world today.
Much of his bullish sentiment boils down to the “stock to flow” model created by the pseudonymous analyst “PlanB”
For those who don’t know, the model suggests that Bitcoin’s price action is in some way correlated with the reciprocal of the inflation rate, the “stock-to-flow ratio”. The ratio recently spiked as a result of the May block reward halving.
The model predicts that Bitcoin will hit $ 100,000 by the end of December 2021 at the latest. This is in line with Pysh’s comment that the asset will hit $ 100,000 by August.
Others see it that way too
Pysh is by no means the only one anticipating exponential growth in the coming cycle.
Willy Woo, a prominent on-chain analyst, is even predicting an increase in Bitcoin towards $ 200,000 or even $ 300,000 in 2021 with one of his price action models.
Woo’s bullish sentiment is in line with certain on-chain trends he is following, such as the „re-accumulation“ that is currently taking place in the Bitcoin market. Woo comments that he noticed a similar trend prior to the previous bull run that took BTC from the $ 500 region to $ 20,000.