Things Are Getting Interesting...
I've seen a few posts on LeoFinance over the last couple of days regarding a "notorious BTC investor" who goes by the name of PlanB. Although I only tuned in to this podcast which went into great detail about his "stock to flow model", it seems his content is held in high regard by many and a model/prediction of the price of Bitcoin has been given based around a deep dive in to comparing charts and all kinds of technical analysis that I don't fully understand.
Anyway, this values BTC between $100,000 and $280,000 by the end of 2021! That's between ~6.5x and 18.5x from today's ~$15,000.
That seems pretty nuts when you just consider that value compared to where it is now but when I've read other posts on how that model is broken down into simpler language, it may not be so far fetched. Particularly when learning about all these institutional investors seemingly coming in, along with other "new investors", swooping up 10,000s of BTC and then moving it all off exchanges in a mass exit to what many believe is long-term storage. Sounds pretty interesting to me anyway!
Doubling Up
So I decided to double my daily micro-payments on Luno today as my Stack-Sat-Strat (stacking sats strategy) is a fully automatic process now. I'm hoping that this will put me in good stead for next year if/when we reach those valuations. Even if we don't hit those heights, I'm playing the long game with BTC and if it remains lower then I'll get more BTC anyway until it does move to those eye-watering price ranges.
Either way, I'm a big fan of stress free sats accumulating and with Luno's savings account adding a variable 4% interest starting from the day after you put your BTC in there, hopefully that will add some extra sats at the end of each month! Maybe I am just finding it a little difficult to shake the "saver mindset" but with the discoveries of sites that let you hold your crypto assets there for a return or interest, it's been a revelation and plays right in to my own methodologies.
The other platform I use is Celsius and I got an email from them saying they just hit $2 billion worth of cryptoassets on their platform, considering I watched a video on their website that's only 6 months or so old saying they had $1 billion worth, that's quite a staggering growth! So I'm a bit more confident with CeFi now and will probably stick with them for the time being but keeping the majority of my holdings on the Ledger.
We'll see how this pans out but I can't stress the importance of having a spreadsheet to keep on track of my finances. Seeing where I can cessate needless outgoings has helped formulate a new auto-stack-sat-strat and it's likely my Plan B may well become my plan A 😉
How about you? What's your take on these models and predictions of BTC price? Has it changed your strategy or are you going to keep on what you're doing? Let me know in the comments below!
Take care
Nicky
Originally posted here