Smart, old-school commodity trader Peter Brandt shared his prognosis for what would happen to the top cryptocurrency, Bitcoin, in a recent X Twitter post, and it doesn’t sound good.
His essay was published when Bitcoin once more fell in price and was trading at $25,958 at the time of publication.
A close below $24,800 for Bitcoin?
Brandt stated that Bitcoin is presently testing the neckline of the underlying inverted Head & Shoulders pattern on the chart as it continues to fall. According to him, Bitcoin dropping and closing below $24,800 (BTC’s low from the last retest) “would damage the daily and weekly graphs.”
He ended the message with a sarcastic self-deprecating remark, mimicking the abuse some in the crypto community have directed at him for his forecasts on the cryptocurrency market: “But hey, what do I know? I only chart because I am a boomer.
A reversal pattern on charts known as an inverted H&S pattern typically shows that a negative trend is going to turn positive.
Brandt expects the uptrend line to be broken
The well-known trader tweeted earlier this week that he thought Bitcoin was testing the multi-contract trendline from the 2023 bottom and that he anticipated the price movement through August to be a bear signal or bear trap.
As a swing trader, Brandt stated in a tweet that he anticipates the rising trendline to be broken, thus he would select either short or flat options. “Only if a bear trap is truly “sprung” would I view it as a bullish event. I really enjoy the creation of horizontal charts.
