Peter Brandt, an experienced commodities traders and crypto analyst, believes the price of bitcoin (BTC) will again test new lows.
$BTC 2013-2016 vs 2017-2019 analog comparison. Two optional views:
1. 1-10 correction complete, but retest to come
2. 1-10 correction not done, new lows to follow
Then 🍢🎢
Or, just dead cat bounce pic.twitter.com/qAaBve87Ug— Peter Brandt (@PeterLBrandt) February 24, 2019
On February 24th, 2019, Brandt shared his views regarding the BTC price with his 257k followers, noting that if we observe the price movements of the world’s most dominant cryptocurrency towards the end of the previous cycle (between 2013 and 2016), then it suggests that bitcoin might retest its lows in the $3,000 range. This, according to Brandt, could happen within the next six to seven weeks.
Brandt, who’s a best selling author of various trading books, explained that bitcoin could potentially experience even lower lows in the next few weeks. Although Brandt did not specify an exact timeframe during which bitcoin price could drop further, he did seem to suggest that it would not surprise him if bitcoin’s price dropped below the $3,150 mark – as it did during December 2018.
Tyler Jenk’s $1,000 Hyperwave Theory Call Is “Irresponsible”
In response to a Twitter user’s question about what his thoughts were regarding Tyler Jenk’s $1,000 Hyperwave theory call (which states that bitcoin might revisit the $1,200 price range which was last seen in the 2014-2015 market cycle), Brandt said that the prediction was “irresponsible.”
While Brandt thinks the bitcoin price could drop lower in the mid to short-term, he also believes that digital asset prices will likely experience a long-term rally afterwards. However, Brandt has only expressed confidence in bitcoin, as he has previously predicted that altcoins “will end up in the same garage sale junk heap.”
In December 2018, Brandt had warned that bitcoin’s recent recovery (which it had made at that time after dropping from about $6,500 to below $4,000) may prove to be a dead cat bounce. According to his analysis at that time, bitcoin could drop below $1,200. Notably, the 72-year-old technical trader is now well-known for his accurate prediction in January 2018 that BTC price would drop by over 80%.
Bitcoin Still Up 6% In Last 2 Weeks
On February 24th, 2019, the bitcoin price dropped from around $4,100 to a low close to $3,800. Bitcoin is currently trading at $3,816.49 according to CryptoCompare data. Despite the unexpected sell-off, BTC is still up by around 6% in the past two weeks.
The mini-bullish rally (before the dip) could be partially attributed to the increasing adoption of the Lightning Network (LN) – which is a layer-two protocol that aims to make crypto payments faster and cheaper to process. As CryptoGlobe reported recently, Bitcoin’s LN “torch” had recently reached trillion dollar asset manager, Fidelity Investments, which is planning to introduce its own crypto custody service next month.