The Stock-to-Flow (S2F) model, a popular method for estimating Bitcoin’s price, predicts a maximum price of $222,000 in this market cycle. However, investors are advised to proceed with caution, as stated by André Dragosch, the head of research at Bitwise.

While the S2F model centers on Bitcoin’s halvings—events that cut the newly minted BTC in half every four years—it does not fully incorporate demand-side dynamics. As Dragosch points out:

“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.”

Investment vehicles like ETPs have established a price floor for Bitcoin, maintaining levels above $100,000. The ongoing discussions among investors and analysts about Bitcoin’s pricing trajectory consider whether BTC has reached its peak or if it has room for growth as institutional involvement in the market increases.

Analysts Discuss Potential Price Trajectories for Bitcoin

Geoff Kendrick foresees Bitcoin potentially reaching $200,000 by the end of 2025. After a recent flash crash that brought BTC below $104,000, some see this as a favorable buying opportunity. Other forecasts suggest Bitcoin could soar as high as $500,000 in 2026, driven by an increase in the M2 money supply. However, leading figures like Tom Lee and Mike Novogratz caution that reaching $250,000 by the end of 2025 may be unrealistic without significant market shifts.

This debate illustrates a divided opinion within the crypto community regarding Bitcoin’s future price movements amid growing institutional interest.