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Bitcoin (BTC) Price One Dot Closer to $100,000, According to Stock-To-Flow Model

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Wed, 07/01/2020 - 10:41
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Vladislav Sopov
Slowly but surely, the Bitcoin (BTC) price is coming closer to another insane rally, as revealed by the updated 'stock-to-flow' model from trader and analyst PlanB
Bitcoin (BTC) Price One Dot Closer to $100,000, According to Stock-To-Flow Model
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The well-known cryptocurrency trader and analyst who goes by the name of PlanB (@100trillionUSD) published an update to the most popular Bitcoin (BTC) price model for bulls.

Second red dot

According to Plan B, the second red dot in the fourth Bitcoin (BTC) epoch flashed today. Red dots show the price of the king coin in the months following a fall in mining rewards.

Bitcoin (BTC) stock-to-flow model flased second red dot
Image via Twitter

According to its past performance, explosive upmoves by the flagship crypto typically start in orange and yellow zones. However, with the maturation of cryptocurrency markets, the cycles are becoming smoother. This trend may be contributing to the surprisingly low volatility of the king coin.

This fact was mentioned by the author of this theory, Plan B. He noticed that the volatility refuses to grow despite the ongoing market recession.

Also, PlanB admitted that the position of the second red dot will be adjusted in late July 2020.

Mesmerizing and controversial model

The 'Stock-to-flow' models of the Bitcoin (BTC) price explain the cycles of its growth by the increasing scarcity of the asset. Scarcity increases, in turn, correlate with periodic reductions in Bitcoin (BTC) emission, which are hard-coded into its protocol.

As covered by U.Today Crypto News, PlanB insists that in the ongoing cycle, the Bitcoin (BTC) price may reach the $100,000 and even $900,000 levels. Its 'stock-to-flow' ratio derived from the current production and overall Bitcoin (BTC) supply, surpasses the scarcity of Gold (XAU).

Related Bitcoin (BTC) Price May Even Reach $900,000: PlanB on 'Stock-to-Flow' Misunderstandings
Related
Bitcoin (BTC) Price May Even Reach $900,000: PlanB on 'Stock-to-Flow' Misunderstandings
 

Despite the fact that PlanB's calculations are heavily criticized even by a portion of the Bitcoin (BTC) community, the $100,000 macro target for the Bitcoin (BTC) price is supported even by the more conservative 'Energy Value Theory' by Charles Edwards.

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About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)

Grayscale Assets Under Management Surge $300,000,000 in One Day. What Does This Mean?

News
Fri, 10/23/2020 - 09:24
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Vladislav Sopov
Grayscale, undisputed giant of institutional crypto investments, is celebrating another monstrous milestone, adding a nine-digit sum to AUM in 24 hours
Grayscale Assets Under Management Surge $300,000,000 in One Day. What Does This Mean?
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Grayscale is an investment company that provides the clients with an exposure to digital currency markets eliminating the need to buy tokens. The firm does it by selling shares of 'trusts' related to certain digital assets. The recently started FOMO has already brought Grayscale's 'asset under management' (AUM) values to previously unseen levels.

Grayscale assets are on steroids

In its most recent report shared in a tweet, Grayscale Investments stated that its net AUM now surpasses $7,300,000,000. Mostly, this upsurge should be attributed to the spikes of Bitcoin (BTC), Ethereum (ETH) and Litecoin (LTC) prices.

Grayscale adds $300M to its AUM in 24 hours
Image by Twitter

Its founder, CEO of Digital Currency Group Barry Silbert, unveiled that Grayscale’s holdings added a whopping amount of value in the last 24 hours.

Added a cool $300 million in AUM in one day

In terms of separate ‘trusts’, the most impressive increase is associated with Litecoin (LTC). Its value added almost 10% bringing its total to over $34 mln. 

Bitcoin (BTC) allocation surged above $6 bln with a 5% increase. Notorious Grayscale Ethereum Trust (ETHE) added 6% and now is valued at $942 mln.

PayPal assists Grayscale

By contrast, Stellar Lumens (XLM) and Bitcoin Cash (BCH) trusts witnessed mediocre increases of 2-3%. The only integral product of Grayscale, Large Cap Trust that unites the most valuable coins under its umbrella, therefore, added less than 4%.

The numbers of Grayscale Investments positions rocketed due to the rapid spike of crypto prices associated with PayPal’s decision to add major digital assets to its instrument toolkit.

As covered by U.Today previously, PayPal announced that Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC) and Bitcoin Cash (BCH) will be added as payment methods by the end of this year.

  

Following this surprising news, Bitcoin (BTC) revisited its multi-months high over $13,000. At press time, its price has slightly retraced and flirts with the $12,800 level.

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About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)