Stock-2-Flow Creator ‘PlanB’ Says Bitcoin Will Hit $500,000

Bitcoin Price Prediction

PlanB, the creator of the renowned Stock-to-Flow (S2F) model, has reaffirmed his ambitious Bitcoin price target of $500,000 for 2025. Known for his data-driven predictions, PlanB highlighted that his forecast has remained unchanged since 2022, when Bitcoin was trading at $20,000.

With the 2024 halving event now behind us, he sees this year as pivotal for the S2F model to demonstrate its full potential.

PlanB emphasizes that Bitcoin’s rally to $108,000 in late 2024 validates the S2F model’s effectiveness. According to his projections, Bitcoin could average $500,000 in 2025, with a potential trading range between $250,000 and $1 million.

His forecast aligns with growing institutional adoption and macroeconomic shifts, reinforcing Bitcoin’s status as a store of value.

Factors Driving Bitcoin’s Price Surge

1. Impact of the Halving Event The Bitcoin halving in April 2024 reduced the supply of new coins entering circulation, creating scarcity and driving demand. Historically, halving events have catalyzed significant price surges, and PlanB expects this trend to continue. Bitcoin’s ability to reach $108,000 in 2024 underscores the halving’s impact on its valuation.
2. Institutional Adoption Major institutions are increasingly adopting Bitcoin as a hedge against economic uncertainty. MicroStrategy, for example, recently added 2,138 BTC to its holdings, bringing its total to an impressive 446,400 BTC. Institutional investments not only validate Bitcoin’s role in financial markets but also provide strong upward pressure on its price.
3. Strategic Bitcoin Reserves There is speculation that the U.S. may establish a strategic Bitcoin reserve, which could drive demand further. If realized, this move would signal Bitcoin’s acceptance as a critical financial asset, potentially propelling prices toward PlanB’s forecasted range.

Bitcoin Technical Outlook

Bitcoin is currently trading at $96,568, reflecting a 3.16% gain in the last 24 hours. With a market cap of $1.91 trillion and a trading volume of $33.9 billion, investor interest remains robust.

Breaking above a descending trendline, Bitcoin is eyeing the 38.2% Fibonacci retracement level at $98,322 as the next key resistance.

Key Levels to Watch:

• Resistance: $98,322, $100,262, $102,183
• Support: $95,484, $93,818, $92,103

The triple-bottom pattern at $92,103 has fortified Bitcoin’s bullish momentum. The 50-day EMA at $95,484 supports the upward trajectory, while the RSI at 60 indicates healthy buying interest without overbought conditions.