The Target Price is the value of the simulated long/short Bitcoin strategy as if Bitcoin was being bought and shorted according to the published forecasts of when its price will fall. It does not include any fees or slippage.
The reason we use a Target Price instead of actually holding and shorting Bitcoin is that it removes exposure to the risks of the financial system by doing away with the need for a derivative such as a futures contract to short Bitcoin, and a broker to execute the trades.
The purpose of BE Classic (CBE) and BE Growth (XBE) tokens is to trade at this Target Price on the Waves decentralised exchange. However there is no formal linkage between the Target Price and the price the tokens are traded at. Only buyers and sellers of the token decide the traded price. That is to say, the value of BE tokens is self-generated by buyers and sellers in the same way the value of currencies, commodities or property is maintained.
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