Bitcoin Stock To Flow Rainbow Indicator

Hello everyone,

I have finished to create the Bitcoin stock to flow indicator, rainbow version.
It's a Bitcoin price prediction model.

What is Stock To Flow ?

Stock is the size of the existing stockpiles or reserves and flow is the yearly production.
The formula is : Stock divided by flow ( Stock_to_flow = STOCK / FLOW )

The supply of bitcoins is fixed in the source code.

What we know :
  • Blocks are created every 10 minutes ( average )
  • In 2009, 50 Bitcoins was created every 10 minutes , so 300 Bitcoins per hour, 7200 per day, 2628000 per year
  • The Halving happened each 210000 blocks , the average time between halving is around 1300-1400 days.

The mathematical formula that I used for the rainbow line is : exp(-1,84) * (Stock_to_flow ^ 3,36)
And the mathematical formula that I used for the " top price line " is : 1.2 * (Stock_to_flow ^ 3)

The rainbow line IS the prediction model .

We can observe that :
  • The price follow the rainbow line
  • After each halving, the price grow and touch few month after the rainbow line
  • When the price is between the rainbow line and the " top price line ", habitually, it's followed by a drop of the price below the rainbow line.
    Special thanks to PlanB.

Script protégé
Ce script est publié en code source fermé et vous pouvez l'utiliser librement. Vous pouvez le préférer pour l'utiliser sur un graphique. Vous ne pouvez pas visualiser ou modifier son code source.
Vous voulez utiliser ce script sur un graphique ?
Naïm Boubziz