10-year Bitcoin model approves buying BTC at $100K since time does ‘the heavy lifting’

A recent Bitcoin model indicates that long-term returns on Bitcoin investments remain around 300%, regardless of the entry price. Researcher Sminston With’s 10-year simulation examined three purchasing scenarios: buying at $94,000, and at 20% lower or higher. The study projects that even the least favorable entry points could yield substantial profits over a decade. For instance, if an investor buys at $94,000 and withdraws 10% annually, their final total could range from $924,000 to $1.18 million, whereas buying at 20% below could result in totals from $1.15 million to $1.47 million. The model suggests that timing is less critical than previously thought, emphasizing the importance of patience in capitalizing on Bitcoin's long-term growth. The analysis also notes that global liquidity is now significantly higher than in previous cycles, with current estimates around $113 trillion, indicating a more favorable environment for risk assets. Such macroeconomic conditions coupled with Bitcoin being undervalued per liquidity models suggest a fair value around $170,000, offering a positive outlook for investors willing to hold long-term.

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