The latest Bitcoin news show that the most dominant cryptocurrency could spend months trading at $5,500 before it finally recovers – which is an analysis from Peter Brandt, one of the best known analysts in the space.
As a tweet from Brandt on November 21 showed, the analyst revealed his target for Bitcoin with a floor of $5,500. The negative pressure has recently taken over the markets and sent BTC/USD into lows of $6,850. Fortunately, BTC managed to escape and is now at $7,267 with a slight retracement.
I think you are correct — in terms of price anyway. My target of $5,500 is not far below today's low. But I think the surprise might be in the duration and nature of market. I am thinking about a low in July 2020. That will wear out bulls quicker than a price correction.
— Peter Brandt (@PeterLBrandt) November 23, 2019
The length of the bear market “might be a surprise” according to Peter Brandt – but also a trend that continues and makes it last longer than the general consensus suggests.
“My target of $5,500 is not far below today’s low. But I think the surprise might be in the duration and nature of market,” Peter Brandt wrote and added “I am thinking about a low in July 2020. That will wear out bulls quicker than a price correction.”
If such a status quo endures, it would run in stark contrast to the prevailing mood among the Bitcoin observers. As crypto news sites reported, the popular Stock-to-Flow model for Bitcoin price predicts an average of $8,300 for BTC/USD until next May.
At this point, the block reward halving event should be the one that triggers a bull market. Last week, the fellow trader Tone Vays predicted that the impact of a halving event should be in evidence even several months in advance.
Vays also noted that Bitcoin could drop even lower than what Peter Brandt predicts – to around $4,500 – which the statistician Willy Woo labeled as something that is “entirely possible.” Since the start of this week, Bitcoin has dipped more than 15% and according to Woo, this style of behaviour will characterize the cryptocurrency and the markets going forward.
“I expect way more volatility. Short term bearish is all I’m saying. And don’t expect price will repeat past halvenings,” he said.
In July, when the BTC/USD pair fell below $9,500 after the run to highs of $13,800, Peter Brandt warned that the cryptocurrency should see losses of up to 80% of that peak – which would put it at just $2,760.
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