Peter Brandt says Bitcoin has yet to bottom out amid ongoing sell-off
Veteran commodity trader Peter Brandt has tweeted that Bitcoin is yet to see a major sell-off that will force bulls to capitulate.
The largest cryptocurrency is on track to record its third consecutive day in the red, falling to an intraday low of $ 46,596 earlier today on the Bitstamp exchange.
Bitcoin endured a major sell-off on Dec. 4, tanking to as low as $42,000. It was followed by weeks of anemic price action.
On December 20, Brandt felt that Bitcoin had yet to bottom out as there had been no panic surrender with high sell volume. While agreeing that market lows don’t necessarily come with massive sell-offs, the legendary trader also noted that there should be an increase in volume during bullish advances.
Bitcoin spiked 14% within a week since Brandt’s warning. However, there was not enough buying pressure to push the cryptocurrency above the key $52,000 resistance level. The recovery ended up being a bull trap.
On December 28, Bitcoin fell more than 6%, lowering any hope of a last-minute “Santa rally”.
The leading crypto and other risk assets are still struggling to regain bullish momentum after an Omicron-driven correction in early December.
While doubling the returns generated by the benchmark S&P 500, Bitcoin is up a modest 64.76% year-to-date.
The cryptocurrency peaked at $69,000 in early November before bears seized control over the market.
A buying opportunity?
In a recent article, pseudonymous Dutch crypto analyst Plan B insists that Bitcoin is a buy at the lower end of its stock-flow model, which many critics say has already failed due to the awards not reaching the often-repeated $ 100,000 by the end of this year.
According to a poll that has received 67,273 votes at press time, the majority of respondents think that Bitcoin will remain below $100,000 by the end of 2022.
