Anyone who knows a little bit about cryptocurrencies knows that Bitcoin has a limited amount of BTC, which is 21 million BTC. It is assumed that the last BTC will be mined in 2140. What could be the price of the last BTC extracted? Let’s take a look!
„To the moon“
We need to look at cryptocurrency growth models to properly estimate the price of BTC in the future. The two best known models are the Parabolic supertrend and the Stock to Flow model (S2F).
We must also take into account the fact that if adopted and BTC becomes a global currency that everyone will use, the rise in the price of BTC is more than likely.
Hal Finney predicted in 2009 that the BTC would be worth $ 10 million per coin. Finney simply used the world’s wealth and distributed it among 21 million coins.
This model correlates closely with Plan B stock to flow model. While many investors disagree with the idea of parabolic growth, Bitcoin has already increased by 2,232,111,011% since Marti Malmi sold the first Bitcoin for foreign currency in 2009 and since then the price has risen to $ 20,000 in 2017.
See the chart above to see how all new breakthrough technologies have parabolic growth.
Stock to flow (S2F) model
S2F says how many years it would take to create the current total supply of a given asset. The gold S2F is 62. The Bitcoin S2F is currently 25, but will change to 50. On the chart below, you can see a parabolic rise in BTC prices as well as a regular decrease in inflation.
The Plan B model predicts a trillion BTC capitalization after halving and price of $ 55,000 per BTC.
According to this model, the price of 1 Bitcoin in 2025 should be over $ 1.2 million. It all sounds fabulous, but we must not forget how, after parabolic growth in 2017, everyone predicted the continuation of the parabola and 1000% returns. Instead, the opposite and the end of the fabulous wealth came.
Moon? No – to the neighboring galaxy!
Credit Suisse estimates that global wealth is $ 360 trillion in USD. If we divide this figure by 21 million BTC, we get $ 17,144,857 per BTC.
However, Chainalysis estimates that up to 4 million BTCs are lost, so it is appropriate to make a calculation for 17 million BTCs. Using the calculation with 17 million BTC instead of 21 we get to 21 176 460 USD.
Assuming hyperbitcoinization occurs by 2140, $ 100 in BTC at the current price of $ 8,880 is $ 0.01126. The same amount of BTC could be worth $ 238,373 in 2140, when the last Bitcoin was mined.