Investor Says Bitcoin Can Go Beyond Model That Predicts $100,000 in 2021: ‘Things Are Falling Apart’
- Selling the top
- Aiming for $300,000
In a series of recent tweets, financial analyst and podcaster Preston Pysh has once again outlined his bullish case for Bitcoin, claiming that the world’s largest cryptocurrency could ‘go beyond’ the levels of the stock-to-flow (S2F) model.
The widely cited model, which was introduced by Dutch crypto aficionado Plan B, predicts that Bitcoin will touch $100,000 by Dec. 2021 (otherwise, it will be thrown out of the window).
Selling the top
Pysh admits that he exited the cryptocurrency back in December 2017 when the BTC price hit $18,000. This was the peak of the retail-driven Bitcoin frenzy when the network became so congested that users had no choice but to shell out up to $50 for one single transaction.
After BTC bottomed out in December 2019 at the $3,100 level, Pysh started to beef up his Bitcoin holdings. His cost basis, the original value of purchased coins, is currently in the high $5,000 range. On top of that, he has plenty of long-dated Bitcoin options calls that expire in June 2021 with $10,000 strikes.
While many have been burned by Bitcoin’s volatile moves, Pysh admits that there was definitely ‘some luck’ on his side.
Aiming for $300,000
On May 21, the BTC price tanked to $8,800 after the ghost of Satoshi spooked the cryptocurrency market.
Despite Bitcoin’s topsy-turvy price action over the last few days, Pysh remains bullish.
Because of the current macro-environment, the podcaster forecasts that BTC could go much higher than the S2F model predicts, which seemed impossible in 2017.
As reported by U.Today, Pysh believes that BTC is on track to reach $300,000 during its fourth era:
I would tell you that I think the next orbit level is $80,000 to $100,000. […] It’s gonna go straight through that number, and it’s probably gonna go to $200,000 or $300,000.