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- Trading veteran Peter Schiff expects another “shakeout” on the Bitcoin market before the next bull run
- As part of a market shakeout, the Bitcoin price will fall to USD 7,000 to 7,500 before a long-term upward trend follows in mid-September at the earliest, according to Brandt.
The controversial Bitcoin analyst and trading veteran with more than 40 years of experience, Peter Brandt, has again commented on Bitcoin’s current price development. In a new interview with Crypto Markets Live, the trading veteran now explained that contrary to many expectations, Bitcoin is heading for a renewed downward trend.
Brandt does not believe that the current massive inflation of Fiat money and the coronavirus will be a decisive factor for Bitcoin’s next bull run. According to the analyst, the “narrative” is too simple and will at least not immediately come true:
I’m always trying to think to myself what’s the easiest play? What’s the easiest thing to believe? I think the easiest thing to believe by the noobs is I’m just going to own Bitcoin here, and it’s great to buy, and we’re going to the moon, and there’s no risk to own here, and I’ll buy it here, and it will be at a million dollars before you know it. Markets don’t make it that easy.
Markets always show some curveballs in there, and I think it’s too easy to think Bitcoin needs to be owned here, and it’s just a matter of days or weeks before we have an upside price explosion.
According to Brandt, the psychology of the investors will play a more important role. As the respected chart analyst Josh Rager has already judged in a recently published tweet, Brandt also believes that Bitcoin must experience a last, stronger setback. This will force out of the market those investors who have no confidence in the leading cryptocurrency. According to Brandt, this will be the last hurdle before another bull run:
So I’m trying to figure out where’s this surprise coming from, and I think personally the surprise is that we see a shakeout in Bitcoin. This is not a prediction, but I’m trying to think through the market psychology, which is we have a sharp break in Bitcoin maybe back to $7,000-$7,500.
Brandt currently observed that numerous investors are fixated on altcoins and expect Bitcoin to rise soon due to the success of the altcoins. But also this calculation is too simple. That is why there will soon be a “shakeout” if the Bitcoin price does not manage to break out upwards, according to Brandt:
That’s going to try people’s patience. We’re 31 months away from the high now. It’s been 31 months since Bitcoin topped, and now it’s enough to wear people out. You know if we get a shakeout here, I think we shake the tree, and we probably get rid of all the folks that were talking about going to the moon in December of 2017. They’re going to finally give up the ship.
Once the shakeout is complete, there would be nothing standing in the way of the $12,000 mark. However, Brandt does not expect a long-term upward trend until mid-September at the earliest.
Last updated on July 17, 2020