The host of the popular YouTube channel InvestAnswers is laying out potential year-end price targets for Bitcoin as BTC struggles to find the bottom of its correction.
In a new video, the analyst uses global M2 money supply – which measures the amount of money flowing throughout the financial system – to forecast potential price targets for Bitcon on the premise that newly created money supply could partially flow into BTC.
InvestAnswers says that the most reasonable expectation is that about 0.5% of the newly created supply would flow into Bitcoin, which, according to his models, would bump the price to roughly $115,000.
“Bitcoins in circulation are 15 million, remember five million are lost and the current Bitcoin market cap is $1.637 trillion, the new Bitcoin price would go to $146,000, if one percent of this new level of assets goes into Bitcoin.
I don’t believe it’s going to be that high, I think it could more along the lines of half of one percent or a quarter of one percent. It depends on adoption, it depends on nation-state game theory. Maybe there’s a nation that’s going to be printing some of their fiat and buying Bitcoin, then you could throw this table away, it’s going to be a lot higher if that’s the case.
Because the first nation-state to print money to buy Bitcoin wins. That’s it.
So imagine if just half of one percent of the new global M2 goes into Bitcoin – [which is] reasonable, perhaps – the price would go to $115,000. That would increase the price by 37.58% – which a lot of people are groaning and saying ‘$115,000, that’s no good, I want a million dollars’ – well, that’s not the way markets work. There are still a lot of people out there predicting a half-million-dollar Bitcoin by the end of the year. I don’t believe in that. $250,000, I don’t believe in that. $120,000? Maybe, if things really kick off in game theory…
My target was always like $119,000, $120,000 for the longest time, going back to 2023. We’ll see if we get there.”
Source: InvestAnswers/YouTube
At time of writing, Bitcoin is worth $82,100.
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