- Bitcoin price is on track to reach $250,000, according to a well-known cryptocurrency analyst.
- PlanB’s S2F model predicts BTC will reach $100,000 by the end of the year, which could lead to a sharp rally.
- However, the analyst further noted that another prominent Bitcoin price model may be invalidated.
Bitcoin price recently hit a new all-time high of nearly $69,000 on November 10 backed by persistent inflation. The argument that the leading cryptocurrency is a way to hedge against rising cost pressures is fueled by inflationary concerns. While BTC has jumped to a new record, a leading analyst believes that the leading digital asset could reach $250,000 by January 2022.
Bitcoin price awaits massive rise
While the focus is on $1 million for 2025, according to a stock-flow model for the price of bitcoin, the leading cryptocurrency could easily reach $250,000 by early 2022, according to analyst Matthew Hyland.
The analyst further noted that only one Bitcoin equity-flow model could survive beyond 2022, which is the S2F model rather than the S2FX model.
Hyland highlighted that the BTC market hasn’t experienced a euphoria yet, but that phase may come when the bitcoin price crosses $100,000. According to PlanB’s S2F model, the leading cryptocurrency will have already reached $100,000 by December of this year.
Once the S2F model was validated with Bitcoin hitting $100,000 in December, Hyland stated that “all eyes will be on the S2X model,” which expects the major cryptocurrency to reach $288,000 for this bull run.
He added that the S2X model could act as a catalyst for the final stages of a euphoric run because PlanB correctly predicted the S2F model on the price of BTC. Out of fear of getting lost, investors are then likely to think that the $288,000 target is off the radar.
However, the price of bitcoin could face a setback, as Hyland believes it could be a “news sell” event, where big players can provide liquidity to other big investors to sell at higher prices. The analyst said that while $288,000 is the target price, BTC will drop to $250,000.
In 2017, Bitcoin went 150% from $8,000 to $20,000 once the euphoria started right after Thanksgiving that year
I think when the $100k crashes in December, the euphoria will start and another 150% move will follow in less than a month
Bitcoin will reach $250,000 in January 2022 pic.twitter.com/zsa9W2ifKL
– Matthew Hyland (@Parabolic_Matt) November 9, 2021
While the S2X model will be invalidated, the S2F will remain intact. It expects the price of Bitcoin to reach $1 million by 2025. Hyland further noted that venture capital Tim Draper also predicted that the price of Bitcoin would reach $250,000 by 2022 in 2018.
In the coming years, Bitcoin will continue to go through the block reward halving, which could lead to a scarcity of cryptocurrency supply, driving the price of the leading digital asset higher.
Bitcoin price is printing a massive bullish pattern as Bitcoin looks to $88,000 next
Bitcoin price has created a bullish pennant pattern on the daily chart, which indicates that BTC may continue to rise after completing the correction.
The first target for bitcoin price to the upside is $71,658, measured by the symmetrical triangle that forms the pennant of the dominant chart pattern. If BTC can reach above this level, the next target for the cryptocurrency is $88,117, which is 39% higher than the upper bound of the ruling technical pattern.
While Bitcoin recovers, investors seem to be seizing the opportunity to buy into the dip, as the Arms Index (TRIN) indicates that there are more buyers than sellers in the market.
BTC/USDT daily chart
However, before the bitcoin price reaches the bullish targets, the leading cryptocurrency could retest crucial support levels, with its first line of defense at the November 2 high at $64,225 and then the October 22 high at $63,685.
In the event of higher selling pressure, bitcoin price could set the upper bound of the ruling technical pattern at $62,301, coinciding with the 21-day simple moving average (SMA). A fall below this level could pose problems for the bulls as the bullish outlook may be invalidated.