There is only 21 million Bitcoin’s (BTC) to be mined. It may sound like a lot; however, there will come a time when the last coin is mined.
Currently there are 18,241,087.50 bitcoin, which have been mined into existence. That leaves 2,758,912.50 Bitcoin’s left to be mined.
On average, 144 blocks per day are mined, with 12.5 Bitcoin’s per block. Currently, on average, there are 1,800 new Bitcoin’s mined every single day.
It is expected that the last coin will be mined around the year 2140, so if you were to invest $100 into Bitcoin, what would that be worth in 120 years time?
In order to estimate the price of BTC in the future, growth models for the cryptocurrency are closely looked at and monitored. Two of the most efficient analysts currently are Parabolic Trav’s, Parabolic Super Trend model and Plan B’s, Stock to Flow Price Model (S2F)
One very important factor, which is taken into account when estimating the price of BTC in the future, is hyperbitcoinization. This is the situation where BTC becomes a global currency used by everyone, and no other currency is in existence.
Parabolic Trav and Plan B
Both Bitcoin analysts correlate strongly when predicting the price of BTC in the future.
Many investors are still dubious that a parabolic growth of the cryptocurrency will occur, however, we need to look at the facts and figures.
Bitcoin has already grown 2,232,111,011.11 percent since Marti Malmi sold the first Bitcoin in 2009 to 2017 when BTC hit a record all time high of $20,000 USD.
The above chart shows Bitcoin following what is known as an S-curve of technological adoption. The cryptocurrency has been grouped as both a currency and as a technology, due to the Blockchain technology, which it utilises.
This is a similar chat, which was published by Trav’s parabolic price model, which shows S-curves of new technology adoption. BTC is more than likely to out perform the steeper curves revealed by the introduction of the smart phone and the Internet, which at the time of their release, were seen to be unimportant.
Bitcoin And It’s Stock To Flow
Stock to flow is a number, which shows how many years, at a current production rate, are required to achieve the current stock. In short, the higher the number, the higher the price.
The stock to flow is calculated when the total stock is divided by the year production flow. Which gives is how many years required to produce what it is current stock.
Currently, it would take 27 years of the current Bitcoin production to produce the current stock.
The above graph was published by Plan B, which shows the Stock to Flow of Bitcoin, supporting the parabolic growth of BTC.
The graph shows the price increase of BTC overlaid by the Bitcoin halving events, which occur every four years.
Every time a halving event occurs, which is when 210,000 blocks are mined each time, you can see the pattern of monetary inflation decreasing while the price of BTC is drastically rising.
This is another graph published by Plan B, which shows the predicted price of BTC per coin. Following the model of this graph, it is predicted that the price of BTC in 2025 will be $1,215,730.50 per coin.
Former Bitcoin skeptic – turned Bitcoin believer, Mark Yusko, who is also the Chief Executive Officer at Morgan Creek Capital Management, told Business Insider,
“Between now and 2021, we’re likely to see $100,000 bitcoin. By 2025, we’re likely to see $250,000 bitcoin, and then some time out, 2030, we could see $400,000 or $500,000 bitcoin as it reaches gold equivalence.”