Bitcoin Will Close 3rd Best Month Ever If Current Level Holds This Month

The benefit of Bitcoin right now is its price level which is above $10,000 and in the five digit zone as we can see from the latest cryptocurrency news. It seems like BTC is having a good time and if everything goes well in February and there is no abrupt drop, Bitcoin will close its third best month ever.

A tweet from yesterday by the analyst PlanB shows that the stock-to-flow model best illustrates how successful February has been for the most dominant coin. As he summarized in the tweet:

“Few people realize we are currently in the third best #bitcoin month ever.”

The Bitcoin price news also show that the benefit of Bitcoin in 2020 have been the January gains. Year to date, BTC/USD has shot up by over 40% which makes it one of the most valuable assets out there.

Nonetheless, at $10,240 now, Bitcoin will close another good week of trading and if the level holds until March, it will have the third strongest month on record given its performance throughout it.

As PlanB also noted, only December 2017 (during the bull run) and June 2019 saw higher monthly closes – at around $13,880 and $10,760, respectively. Bitcoin will close its third best month if it manages to sustain the bullish momentum and the technical indicators show that there isn’t some volatility which was previously expected for BTC.

According to the stock-to-flow model, Bitcoin will close this month good – and the BTC/USD pair should trade at an average of $8,600 until May’s block reward halving which is 19% lower than at present.

Many experts think that the main benefit of Bitcoin will come exactly in May during the block reward halving, when further gains are expected. Thereafter, the model also calls for rapid upward movement which will top out somewhere towards the end of next year. Between then and around 2024, Bitcoin and its average price should be $100,000 as per the model.

These eye-opening calculations mainly revolve around Bitcoin’s status as “hard” money which is the ratio of new Bitcoins compared to the existing supply which shows that it is both low and impossible to manipulate. This is what leads to the frequent description of the cryptocurrency as the “digital gold.”