What does Token Metrics say about Bitcoin's Price Prediction? (updated January 2021)

Welcome to my review of TokenMetrics.com where I will review my experience with Token Metrics. I will walk you step by step on my journey through trading and investing using Token Metrics. Then you can decide if this is the right tool for you to use in your investing/trading strategy. Note, I am not a financial advisor and none of the content on this website is to be used as financial advice. 

What is Bitcoin?

Bitcoin is the Grandfather of cryptocurrencies. And all the others cryptos are like Bitcoin's children and grandchildren. Bitcoin was the first cryptocurrency/digital assets created in 2008 by Satoshi Nakamoto as an answer to the current financial crisis. Bitcoin was created to be a new kind of currency. A currency that lives and breathes in the digital world, but can be used in the real world. Bitcoin was created to be able to transfer and store value. No one person, entity, or country would control Bitcoin. It was created to be decentralized. No one central party can control it. Bitcoin lives on the blockchain, which is online. Right now, it is the number one cryptocurrency in the world.  Bitcoin is still in it's infancy years and can be very volatile. So where is the price going? How much will Bitcoin be worth in the future?

Can Token Metrics predict the future worth and value/price of Bitcoin?

There are many theories that people have put together to try to determine the future value of Bitcoin. Some have said Bitcoin will go to $100,000, or some say $1,000,000 in the coming future. But can Token Metrics give an accurate prediction of what the price will be? To answer this, let's take a look at the Token Metrics summary for Bitcoin.

Starting with the "Value Investor" (Value investor = longer term hold, approximately 1 year) Overall Grade, Bitcoin has a score of 87.65% out of 100%. This is considered "Good". The Overall Grade is an average of the Fundamentals, Technology, and Technical Analysis scores. 

Overall Grade: 87.65%

Fundamentals: 93.63%

Technology: 98.18%

Technical Analysis: 71.16%

What this means is that Bitcoin make a good long term hold. 

Looking at the "Trader" Overall Grade, Bitcoin has a score of 88.84% out of 100%. This is considered "Good". The Overall Grade is a weighted average of the Fundamentals, Technology, and Technical Analysis scores. 

Overall Grade: 88.84%

Fundamentals: 90.02%

Technology: 82.49%

Technical Analysis: 71.16%

What this means is that Bitcoin makes a good short term hold. 

So far, we still don't know what the price of Bitcoin will be in the future. We can only see that the AI is predicting a high chance of a higher price based on the overall grades. 

That is where the Price Prediction piece comes into play. 

What is the Price Prediction tool and how does it work?

The price prediction tool on Token Metrics is a tool that predicts daily prices for the next 30 days. So if today is January 1st, the model will give a prediction for the next 30 days until the end of January. The price prediction model uses past price history and the Token Metrics algorithm to generate price predictions. It is not biased by any human interception. As each day closes, more data is added to the algorithm and thus the price prediction can change it's prediction every few days. I use this tool to gauge when to get in and out of a buy or sell trade. It works very well in tandem with all the other indicators on Token Metrics. For the past few weeks, the price prediction has been forecasting some pull back. Historically, you can see Bitcoin does pull back after a major run up. Which has been present in the price action at this time. So depending on ones time frame to hold or buy more Bitcoin, one may do well to wait for a pull back to take any action. 

Has the price prediction tool been accurate for Bitcoin? Will it accurately predict the price of Bitcoin in 2021 and beyond?

The Bitcoin Price Prediction model on Token Metrics has ranged from 87% to 98% accurate. That tells me that the Token Metrics Price Prediction models understand the price action and thus is quite accurate. But the model only goes out for 30 days, so where will the price go in the next year? You may need to look to the other indicators for a better idea. Like mentioned earlier, go to the summary tab for Bitcoin in Token Metrics and select "Value Investor" to see the overall grade to give you a better perspective of where the price can go in the longer time frame. The higher the score, the more likely the price will continue to do well. Bitcoin has a Value Investor score of 87.65%. You can compare this number against other coins and compare where you want to invest.

Along side the machine learning, Token Metrics also has a great team and provides a plethora of information on it's website, youtube, and social media outlets.

The human piece to Token Metrics:

Token Metrics has top notch AI computer models, and stellar human talent. When you sign up for Token Metrics, you get the best of both worlds. Some times the machines may or may not agree with the humans, but when they do, your probability and accuracy increases exponentially. 

From all the different indicators from Token Metrics site and sentiment from Ian Balina and Bill Noble, Bitcoin is very bullish at this time and into 2021.

If you want to get a feel of the Token Metrics website and not have to pay for a paid subscription, you can check out the details on how to setup a FREE account with Token Metrics here.

If you  are ready to start making money and want to sign up for an account and get a 10% discount today(discount will show up at checkout), you can sign up here. The detailed list of plans can be found here.