Bitcoin is the talk of the financial media and has even crept into the mainstream. Celebrities, CEOs, and almost anyone with a voicemail box are talking about crypto and speculating on how much Bitcoin could be this year. And while the bull market has the potential to run much higher year round, it’s the long-term hold that could pay off in the end.
According to the stock-to-flow model, this is how high the Bitcoin price can rise by 2026.
The path to $ 1 million per bitcoin by 2026
Bitcoin is a scarce commodity limited to just 21 million BTC. The offering itself is slowly brought into circulation through a process called mining that only applies to cryptocurrencies.
Miners validate blocks of transactions and add them to the blockchain to ensure accuracy and consistency. Miners are rewarded with BTC for their efforts and for covering the necessary energy costs related to providing hashrate to secure the network.
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The miners then sell reserves or hold them with investors during bull trends to sell them later at a premium. The bear markets bleed out the weaker miners and strengthen the network after each major cycle.
Bull markets then start later when a hard-coded halving mechanism cuts the supply of BTC that comes into the market by half. With owners keeping BTC off the exchanges and miners getting less to sell overall and incentives to also stay strong to sell higher, there are virtually no sellers in the market these days.
The red lines represent each halving. Lowered supply results in exponential price increase | Source: BTCUSD on TradingView.com
With supply and demand not soaring, the result was nothing short of astonishing and already brought Bitcoin to almost $ 50,000. However, the increase was predicted by the stock-to-flow model.
The model was created by Analyst Plan B and can use the model to further predict the price per BTC based on the decreasing supply of coins.
The stock-to-flow model projects more than $1M per coin come 2026 | Source: CryptoWatch
As one crypto analyst points out, the long-term game is just as high as Bitcoin could go up this year. The stock-to-flow model predicts a price of more than $ 1 million per BTC by 2026.
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The high will be reached after the current bull market has ended, and Bitcoin has hit a low again. If the cycle starts again after halving, the path will be more than $ 1 million per coin. Can you hold out another five years and another bear market? Or are the prices too tempting to sell this time around?
Featured image from Deposit Photos, Charts from TradingView.com