The Bitcoin (BTC) Stock-to-Flow (S2F) model, often used to forecast BTC prices, projects a peak of $222,000 for the current market cycle. However, analysts advise caution regarding this model. André Dragosch, who leads research at Bitwise investment firm, pointed out that the S2F model primarily focuses on Bitcoin’s halving events, which occur every four years and halved the issuance of new Bitcoin.

“Today, institutional demand via Bitcoin exchange-traded products (ETPs) and treasury holdings outweighs the annualized supply reduction from the latest Halving by more than seven times.”

An increase in ETPs and similar Bitcoin investment products has established a price floor, keeping BTC above the $100,000 mark. Ongoing discussions among analysts focus on Bitcoin prices, debating whether BTC has reached its zenith or has further upside potential with the growing list of institutional investors.

Analysts Share Predictions on Bitcoin Prices

Geoff Kendrick forecasts that Bitcoin could hit $200,000 by the end of 2025, while others anticipate that BTC prices might soar to $500,000 by 2026 due to a significant rise in global M2 money supply. Conversely, industry figures like Tom Lee and Mike Novogratz express skepticism. Novogratz believes a $250,000 price tag by 2025 is improbable unless extraordinary factors emerge. Lee alerts investors that a 50% drop in BTC is still viable despite rising institutional interest.

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