Bitcoin Could Cause Harm Due to ‘Highly Suspect’ Price Action, Says Legendary Trader Peter Brandt
Bitcoin (BTC) is about to lose all positive momentum, veteran trader Peter Brandt warns, due to the widespread crypto market decline.
Brandt, who became famous for predicting the crypto king’s collapse in 2017, has warned his 698,500 X followers that the cryptocurrency is in danger of reversing its current climb as it nears a key price level.
After breaking above the $25,000 barrier, Brandt released a chart last month demonstrating that Bitcoin had emerged from an inverse head and shoulders reversal pattern, indicating that BTC was no longer in a decline.
To quote Brandt: “As Bitcoin BTC continues to fall, the neckline of the underlying inverted head and shoulders pattern is being tested again. There would be serious damage to the daily and weekly charts with a closure below 24,800.”
Brandt argues that the pattern of bullish reversal is more likely to fail after a second testing of the inverted head and shoulders neckline.
The trader also claims that Bitcoin has broken above diagonal support that has maintained BTC’s advance since the beginning of the year. Brandt predicts BTC will stay negative until it breaks above the rising trend line.
“The trendline break would be acceptable to me as a swing trader. Therefore, I would take short or neutral positions. To me, anything is bullish only if the bear trap is truly triggered.”
