Bitcoin is heading for the $ 100,000 mark, veteran trader Peter Brandt said in a new video analysis. However, there is still a scenario in which the oldest cryptocurrency falls short in the short term.
Bitcoin is at a crossroads.
According to Brandt, Bitcoin continues to move within its historic bull trend, which has seen ever higher highs and lows.
He believes that the cryptocurrency remains bullish in the coming years. However, two scenarios are expected until Bitcoin reaches $ 100,000. Not surprisingly, one scenario is pessimistic, the other bullish. Krypto is like “good cop, bad cop” in one person.
The price is currently at a crossroads and could choose one of the scenarios. At the moment, BTC is trading very close to the lower limit of a multi-year channel. If the price action continues the correction, then Bitcoin could bottom out at $ 5,324 by July 2020.
The potential low point is based on earlier patterns that Bitcoin has violated parabolic moves four times since 2011. Each downturn came with a correction of over 80% and lasted twelve months from peak to nadir, Brandt’s analysis said.
Accordingly, the current correction is expected to find strong support at $ 5,324 by next summer if Bitcoin takes the bearish route. That’s because the most recent high was hit in June, when the cryptocurrency rose to over $ 13,000.
A bear market until the summer of 2020 – many crypto-bulls are expected to give up.
The potential correction could probably frighten even the most loyal Bitcoin maximalists and testers, Brandt says, pointing to his multi-year trading experience in other commodity markets. In fact, he believes that 90% of social media bulls will sooner or later give up.
The “instant bullish” scenario
In the best case, however, the BTC price does not exceed the lower limit of the multiannual channel, but jumps back to new highs. Brandt claims the new highs may come next year.
Interestingly enough, many Bitcoin bulls expect the price to reach another all-time high after the upcoming halving. A scenario that is further supported by PlanB’s popular stock-to-flow model.