Citing his own mathematical relationship known as the “power law,” the physics professor said Bitcoin could reach $10 million by 2045.
In a video published March 2 on X, Professor Giovanni Santostasi told Bitcoin investor and mathematician Fred Krueger that his power law model is easier to understand and predict Bitcoin’s long-term price.
Law of power
Santostasi stated: “The line graph they usually show on TV – which [Jim] Cramer talks about – looks sloppy,” he said. “But when you do a Y-axis log and start to see some regularity, it doesn’t look so sloppy, it looks like a very nice pattern.”
Santostasi pointed out that most short-term price charts presented in the mainstream media present an inconsistent and unreliable picture of Bitcoin’s price movements.
The professor stressed that the power law is logarithmic, not exponential, unlike the widely criticized stock-to-flow model. This means that Bitcoin’s price does not have to rise steadily over time, and large fluctuations in value, such as those that occurred between 2020 and 2023, can still be explained by its power law model.
The concept known as the power law describes a relationship in which a change in one variable is proportional to a constant exponent of the other variable. The power law is a repeating pattern found in many natural phenomena, such as earthquake frequency and financial market volatility.
Santostasi and Krueger predictions
In 2018, Santostasi presented his model on the r/Bitcoin subreddit. He attracted attention again in January when financial YouTuber Andrei Jeikh, who has 2.3 million subscribers, discussed it in a video.
In the following post, which was a continuation of his conversation with Santostasi on X, Krueger delved into additional mathematical modeling of Bitcoin’s power law, predicting that the price of the cryptocurrency could reach $100,000 within the next two years.
Krueger also stated that if Bitcoin follows this model, its market capitalization is predicted to surpass that of gold by 2033, which would mean that the value of a Bitcoin coin would reach $1 million.
