If we go back in time to January 2018, when the price of the Bitcion had just reached its highest point, some people will remember the Tweet sent by Peter Brandt. This particular veteran financial expert was quickly blacklisted by Bitcoin’s cheerleaders and optimists, as he was then claiming that the BTC price would fall to $4,000 or even less.
At the time, very, very few expected such a radical prediction to come true 11 months later.
Curiously, Brandt was not so far from reality with his prediction, which he said verbatim:
“General TA rule — violation of parabolic advance leads to 80%+ decline in value. If general rule is followed, BTC should retrace to <$4,000. Note: This Tweet does not make me a hater.”
- Peter Brandt (@PeterLBrandt) 22 January 2018
His prediction took on relevance today when the price of Bitcoin has reached $4,000 once again.
And Peter Brandt, again appeared on the scene commenting on the following:
“… It’s called capitulation, at least for (a) while”,
He made the comment by publishing a comparison of the annual highs and lows of Bitcoin and six main altcoins.
In a recent interview, when asked how he knew the price would react so violently in the opposite direction to the bull market of 2017, Brandt said it was not a difficult decision to make:
“I’ve seen that sort of thing take place so many times in the past,” he said. “And they always end the same — prices always fall 80% to 90%.”
As a veteran trader Peter Brandt knows that such corrections are often necessary and can lead to a healthier market in the future, say it is a process of “natural selection of markets”.
As a veteran trader Peter Brandt knows that such corrections are often necessary and can lead to a healthier market in the future, let’s say it is a process of “natural selection of markets”.
However, Brandt is not riding the Bitcoin uptrend bandwagon yet. While he seems convinced that there will not necessarily be a massive price change in the near future, there is a good chance that the world’s leading crypto currency will not exceed $4,600 in the near future. The current trend, which pushed Bitcoin to over $4,000, could end up doing more harm than good in the long run.
Read also: What are bitcoin forks anyways?
On the matter and giving a new prediction; considers that the recent recovery of Bitcoin could be a price movement known as “a dead cat bounce”, which would mean that the fall is not over yet. Brandt notably predicted that if this is a dead cat bounce, BTC could reach the $1,200 level.
Brandt has also pointed out that Bitcoin could return to its highest level if it survives the current downtrend. Earlier this month, he said Bitcoin had entered a stage where “weak money capitulates and strong hands accumulate strategically.
In my opinion, I think it may take a few more months for Bitcoin to return to a bullish market and much more to touch previous historical highs. While most traders and speculators would love to see things happen much faster, there is nothing to justify a sharp uptrend in fairly rapid sequence.
Slow and steady usually wins the race in the markets. With these strong gains already underway, Brandt may be on another fairly accurate price prediction.
This return to the upside seems to be much more a question of when. With the amount of fundamental level improvements in infrastructure and protocol that have occurred throughout 2018, once the market recovers from the consequences of last year’s speculative mania, the functionality, along with the accessibility of Bitcoin will allow it to be seen as a much more valuable asset than before.
Read here how to buy bitcoins instantly with a credit card.
This can only mean higher prices once again, it will take time and it may not be as dizzying but the rise will come.
Remember to participate in the Proof of Keys event next January 3rd, removing your BTCs from the exchanges and transferring them to a cold wallet as a stress test to purge the market of malpractice.
