Ethereum (ETH) co-founder Vitalik Buterin does not believe that the pop stock-to-flow model is useful for predicting the Bitcoin (BTC) price.

In a Twitter contend on February. 27, Buterin became the second well-known figure to criticize stock-to-flow, which calls for BTC/USD to trade at an average $100,000 between 2022 and 2024.

Buterin: stock-to-flow forecasts "part of the 95%"

The model has been historically accurate at predicting Bitcoin'due south growth and currently calls for an average of around $8,606. After trading at more than 20% higher, Bitcoin this week savage to within $200 of that target.

For Buterin, however, stock-to-menses is a prediction model like whatever other.

Discussing printing articles that attribute specific events to Bitcoin toll growth, he claimed that the vast majority were "postal service-hoc rationalized bullshit."

"Your daily reminder that 95%+ of articles of the form "event X volition brand crypto get (up | downwardly)" are post-hoc rationalized bullshit," he wrote.

When asked specifically whether stock-to-flow articles also came under that banner, Buterin added:

"Nah, that stuff is part of the 95%."

The focus of the remaining 5% of articles that Buterin manifestly endorses went unclarified.

ETH currently trades at effectually 2.5% of BTC, lows which volition be conspicuous for Buterin after the altcoin's all-time high of more 15% in early 2022.

Ether price as a percentage of Bitcoin price

Ether cost as a percentage of Bitcoin price. Source: Skew Markets

Critics chide historically accurate prediction tool

The Ethereum leading light is not lonely in his skepticism of stock-to-flow. In a blog post last week, hardware wallet manufacturer Trezor also took upshot with the instrument.

In line for particular attention was the impact of Bitcoin'due south block reward halving in May. Stock-to-flow contends that halving events act equally meaning catalysts to growth.

"No need to crush around the bush-league; Using Stock-to-Menstruation to predict prices is absolute nonsense," it summarized.

According to Trezor, information technology is not possible to arrive at a suitable price forecast unless both supply and demand are taken into business relationship.

Stock-to-flow creator, PlanB, made light of Trezor's criticism of altcoin Bitcoin Cash (BCH) but stopped brusque of debating the company's other complaints.

On the topic of criticism more broadly, however, he subtly hinted that those trashing quantitative theories must first testify their inaccuracy.