The crypto market veteran Peter Brandt became famous for his predicting a collapse of the market and Bitcoin in 2018. Now, the expert warns that investing in BTC is premature and may lead to losses. But the long term rally is inevitable.
Peter Brandt spoke in a weekly review Crypto Markets Live, issued at Cointelegraph’s YouTube. In his interview, the expert questioned the widespread belief that Bitcoin is ready for a large rally because turbulence in global markets does not cease. Brandt said that on the contrary, Bitcoin is ready to drop.
The global economy has still not recovered from the fall due to the pandemic. Moreover, the second wave of COVID-19 is expected. Crypto enthusiasts point out that there are the most suitable conditions to buy BTC now because in the near future there will be a “tothemoon” – a fast rise of its price, a flight to the Moon. And this is a matter of several weeks or even days. Brandt, by contrast, expects a drop, a shakeout in Bitcoin. And predicts that its price will fall to $7,000 – $7,500.
Recently, there have been many reports of altcoin growth. Players believe that their rise should be followed by the rise of Bitcoin. But there is no logic. It’s true that Bitcoin leads the market with its dominance of 60-65%, but not vice versa. 31 months passed since the highs of the market, users are tired of waiting for the next soar. But this does not mean that it will happen now.
Peter Brandt summarized his reasoning with a short- and medium-term forecast: in the near future we will face a Bitcoin drop to the level of $7,000 – $7,500. And then it will rise to $12,000. It can be profitable speculation: get out of Bitcoin now, enter on the bottoms, wait for the rise and sell BTC for $12,000. Profit may reach over 70%. But Brandt warned that this was not a piece of financial advice.
Other analysts are also talking about a possible decrease in BTC. Founder of Blooshkroots Josh Rager also expects Bitcoin for $7,000. In his opinion, the BTC price chart now looks the same as before the fall in the past, for example, in November 2018. But after the drop, Rager expects even more rise than Brandt predicted, to $20,000.
The Bitcoin price decline is also predicted by Ki Young Ju, CEO of CryptoQuant analytical service. The service analyzes data in blockchains and provides exclusive information to professional traders. The expert notes that crypto-assets supply to exchanges is increasing now. In his opinion, this could mean a price reduction to $8,800. Earlier, Ki Young Ju noted that according to his company analytics the bull market happens after the whales withdraw assets from exchanges (“Buy BTC when whales send Bitcoins out of the exchange “).
Bitcoin, in fact, had dropped at the moment to $9,000, then bounced above $9,100.