The stock-to-flow model shows that Bitcoin ( BTC ) has never been so low as its target price.
On July 10, Lex Moskovski (chief investment officer at Moskovski Capital) tweeted that stock-to-flow had flagged a historic moment during Bitcoin's 12-year history.
"Great buying opportunity"
BTC/USD has not shown any signs of a true bullish recovery and is drifting further away from the price the stock-toflow price model predicts.
Stock-to-flow, which is undoubtedly the most well-known of all the Bitcoin forecasters has historically followed BTC price movements with astonishing accuracy. It takes every anomaly into consideration to keep its validity.
However, as Cointelegraph reported stock-to-flow's current behavior is giving it a run for its money and its target price, comparatively, has never been so far away from reality.
Moskovski stated that the Negative Stock-To Flow deflection was the highest in Bitcoin history.
If you believe in this model, it's a great opportunity to buy.
According to the stock-to-flow Multiple, Bitcoin/USD should trade at $82,703 Saturday. The spot price at the time of writing was $33,850, 59% less.
PlanB, the model's creator has maintained a bullish outlook on Bitcoin for 2021. His latest price prediction calls for $135,000 in December as a "worst case scenario."
The analyst is currently away from the grid and not commenting upon events. He promises to return in August with a minimum price target around $47,000.
Stock-to-flow is facing serious bear calls
PlanB has not ruled out stock to-flow being invalidated at any time. This could be a reality in the event of extreme bearish scenarios.
Scott Minerd, a Guggenheim executive, has issued a warning of $10,000. He claimed that there was no reason to buy Bitcoin at the current price.
Another data point to a prolonged recovery period for Bitcoin fundamentals. December could see selling pressure again, as per historical precedent.