The prediction based on the gold model shows that Bitcoin (BTC) will reach $220,000 in 2025, which is "logical."

Source: Cointelegraph Original: “Forecasts based on the gold model indicate that Bitcoin (BTC) reaching $220,000 in 2025 is ‘logical’”

Key Points:

The new Bitcoin price prediction utilizes the interaction with gold, forecasting that this year’s price will break through the $200,000 mark.

The Bitcoin price cycle continues to be the focus of the BTC “power curve” model.

The dominance of gold’s market value may drive BTC/USD close to $1 million by the end of this decade.

Bitcoin has a “considerable chance” of reaching $250,000 or higher by 2025, as market focus shifts towards trends that replicate gold’s performance.

In the latest analysis, the X platform analyzed account Apsk32, stating that the four-year cyclical price pattern of Bitcoin is expected to bring unprecedented highs this year.

The theory that Bitcoin follows gold to reach new highs is widely popular among bulls. Historical data shows that BTC/USD typically rises following XAU/USD after a few months of lag.

The impact is particularly significant for Apsk32; as gold prices reached a record high of $3,500 per ounce, the outlook for Bitcoin price trends is very promising.

“Since April, Bitcoin’s position relative to gold has significantly improved,” he said while showcasing the proprietary “power curve” tool to fans on the X platform.

“This is an indicator that fills me with hope for obtaining returns beyond expectations later this year.”

The concept of power curves involves measuring the price of Bitcoin in ounces of gold to avoid the inflationary properties of the US dollar.

“Here, I measure the value (market capitalization) of the Bitcoin network in ounces of gold and fit that value to a power curve,” Apsk32 explained in a dedicated X post in March.

One of the research findings is the potential bull market top target, which provides a new reference for the historical high of $20,000 in 2017.

“If the Bitcoin network value priced in gold continues to follow a power curve, and gold maintains its current value, while the Bitcoin price returns to the level of ‘support five years ago’, we could reach the $444,000 predicted by Josh this year,” the analysis added.

This week, Apsk32 stated that a more “reasonable” target of $220,000 will be reached by 2025.

“If we start breaking through $250,000, that would be what I consider an ‘outperformance,’” he replied when asked about future prospects. “I do believe we have a fairly good chance of reaching that level; it’s just that it’s not the most likely outcome.”

Continuing the gold theme, Bitcoin analyst Sam Callahan studied the data to show the potential heights that BTC/USD could reach if it occupies different proportions of gold’s market value.

This situation may stem from the popularization of the concept of “digital gold,” a shift that is widely expected to accelerate in the coming years.

“If gold reaches $5,000 per ounce by 2030, and Bitcoin captures 50% of its market value, then the price of BTC will reach $924,000,” Callahan cited data from the latest report published this week titled ‘In Gold We Trust.’

The report states that this data “is not a price prediction in itself, but a scenario-based framework rooted in our existing gold model, providing a clearer perspective on the potential relative revaluation of non-sovereign hard assets by the end of this decade.”

Related topics: Brazilian fintech company Méliuz approved to become a Bitcoin (BTC) reserve company.

This article does not contain any investment advice or recommendations. Any investment and trading activities involve risks, and readers should conduct their own research before making decisions.