"A first reaction could be that it is a great investment opportunity. A better reaction (from an EMH and non arbitrage point of view) would be that it is too good to be true." - PlanB
If the efficient market hypothesis requires that known events be priced in, then how could the S2F be a model for Bitcoin's price? When such an obvious and unchanging piece of information is available, shouldn't the market price it in? Continuing with the foundation laid from yesterday's article, we read Plan B's piece on what a risk & return model might tell us about the market's pricing of Bitcoin ahead of the halving.
Drop some applause on the original article at the link below and don't forget to follow @100TrillionUSD (PlanB) if you haven't already!
https://medium.com/@100trillionUSD/efficient-market-hypothesis-and-bitcoin-stock-to-flow-model-db17f40e6107
"A purely peer-to-peer version of electronic cash would allow online payments to be sent directly from one party to another without going through a...
"Everyone loves a good origin story. Some are true, some made-up, and some a mix of the two. The true origin story of Bitcoin’s...
"The whole tokenize-everything-thing so far is one fast hype train. It is exciting not for the technical efficiencies it may provide but for the...