Somewhere in the next 120 years, all the 21 million bitcoins will be mined. The last Bitcoin will be mined in 2140. According to computer scientist Hal Finney, each Bitcoin will be worth $10 Million at that time.
As the receiver of the first Bitcoin transaction from Satoshi Nakamoto, Finney was the first one to offer a price prediction. And today we have proven growth models to believe him.
Hal Finney: $100 trillion pic.twitter.com/Pb8lv9pNUx
— PlanB (@100trillionUSD) January 11, 2020
Over the last decade, 18 Million Bitcoin have been mined and the price growth has been parabolic. At its all-time high in 2017, Bitcoin has already exhibited 2,232,111,011.11% price gains.
The Next Big Ride!
Bitcoin price growth is expected to be highly parabolic. And this is supported by two massively popular price growth models:
- Parabolic Super Trend (Parabolic Trav)
- Stock to Flow Price Model (Plan B)
At the time of press $100 = 0.011 BTC, if we stick with Finney’s estimate:
1 BTC = $10,000,000
0.011 BTC = $110,000
But this is an understatement!
When Finney estimated the bitcoin price the total worldwide household wealth ranged between 100 and 300. But today this figure is somewhere close to $360 trillion. Thus if Finney re-estimated the bitcoin price in 2140, it would come out to be 18 Billion.
Finney’s Revised Estimation
1 BTC = $18,000,000
0.011 BTC = $198,000
This might still be an understatement because Finney’s estimation does not take hyper-Bitcoinzation and the S-curve of technology adoption into consideration.
To support the fact that the price growth will be parabolic, both Parabolic Super Trend and Stock to Flow Price model are in concurrence.
Parabolic Super Trend
The figure above shows three distinct cycles that have been repeating themselves since 2010. Parabolic Trav’s has extended the same into the future. According to this, each bitcoin might be worth $200,000 by 2023. And we have all the reasons to believe him because his 2020 January bull predictions proved quite precise.
Stock to Flow Price model
PlanB’s Stock-to-Flow model predicts bitcoin’s price based upon its monthly Stock/Flow. With halvings, the Stock/Flow (SF value) will increase and this has a linear relation with bitcoin’s market value.
There is another catch before we come to the final yield for $100 investment in bitcoin today. According to the analysts, close to 4 million BTC have been lost forever. That means effectively the world will receive only 17 million BTC thus each bitcoin will amount to $21,176,470 by 2140.
1 BTC = $21,176,470
0.011 BTC = $232,941
And that is an ROI (Return of investment) of 232,841%. Give it a thought.
This should not be considered as a piece of investment advice.