#BTCNextMove #BTC☀
Bitcoin has high growth potential in 2025 due to fundamental and macroeconomic factors. After the halving in 2024, when the flow of new coins will decrease from 6.25 BTC to 3.125 BTC per block, the Stock-to-Flow (S2F) model predicts a significant increase in the stock-to-flow ratio, which could stimulate a supply shortage. Formally:
S2F = Stock/Flow,
where Stock ≈ 19.5 million BTC, and Flow will decrease, which will increase the value of S2F, which has historically correlated with price growth.
Macroeconomic instability, in particular inflationary pressures in fiat currencies and increased demand for hedge assets, will contribute to the adoption of Bitcoin. Given Metcalfe's law (V ∝ n^2), it is expected that the increase in the number of users and transactions on the network will lead to an exponential increase in value.
Based on the CAPM model:
E[R] = R_f + β(E[R_m] - R_f),
as long as the market risk premium increases, Bitcoin's expected return in 2025 could exceed the market average, solidifying its status as a digital asset for capital preservation.