Bitcoin May See Those Numbers This Week!

Bitcoin: Until the major correction we saw in May-June, PlanB’s S2F model had correctly predicted Bitcoin’s trajectory. The notorious stock-to-flow model (S2F), which accurately predicts Bitcoin price movements, predicts $72,000 this week. On the other hand, a Twitter analyst said that BTC will bottom at $ 17,600.

Bitcoin targets $72,000 this week, according to S2F model

Earlier, a Fidelity analyst explained why S2F is no longer true and will not be in the future. S2F’s main source of forecasting is the scarcity of the asset, which alone cannot determine the price, especially in modern markets.

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To see better results with Bitcoin, it is necessary to consider scarcity. Unfortunately, it is nearly impossible to accurately calculate the technology adoption rate, even if we compare it to similar technologies like mobile devices or the internet in the future.

The current divergence from the price pattern is one of the largest the market has seen in asset history. This suggests that the stock flow can no longer be used to determine the future price levels of Bitcoin.

Lack of purchasing power in Bitcoin

The reason S2F’s price prediction is unlikely to come true is because individual investors alone cannot keep the price of digital gold as high as the model suggests. AmkNews.comAs you follow, institutional investors sold $500 million worth of BTC after the crash.

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It is not yet clear when institutional investors, especially Ethereum’s lending platforms, will return to the cryptocurrency market after the fiasco that caused a massive liquidation and margin calls. The company, like 3AC, Celsius and many foundations, has reached the brink of bankruptcy. Crypto lending platforms had to cease operations after Ethereum dropped below $900. Meanwhile, the popular Twitter analyst is pinpointing the bottom zone of just under $20,000 from the middle of all those sales.

Crypto analyst warns collapse is imminent

In a recent strategy session, “Cheds“ said that Bitcoin is still in a macro downtrend. The analyst also adds that BTC’s recent rally to the lows of $17,600 will face an abrupt end. In his YouTube post he says:

I’m looking at the daily chart. This looks like a bear sequel. I can draw a bear pennant. I can draw a bear flag. I can draw a rising wedge. It feels like a little relief rally so far. Volume [düşüş trendi]there is the standard volume trend, so there is one to two days left before this channel is made. [BTC]One to two days left before he takes action.

Recently, Cheds said that breaking the bearish pennant or ascending wedge will set new 2022 lows:

If the trend continues, the structure can be seen as a bear pennant or flag rising wedge with movement measured in the low teens.

2 Big Predictions for Bitcoin

Earlier this month, Cheds said that Bitcoin is in a “strong position” to bottom at $12,000. Bitcoin is trading at $20,708.08 at the time of writing.

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Larry Brown

I graduated from Yale University, Department of Television. I have been a professional news writer for 3 years. I am continuing my career here by establishing amknews.com site 3 months ago.