Legendary trader Peter Brandt has recently predicted a potential downfall in Bitcoin price as market volatility and uncertainty rise amid the ongoing U.S. debt ceiling dilemma. Although Brandt remains bullish on Bitcoin hitting $40,000, the bearish sentiment is increasing due to recent events.
Brandt’s predictions are closely followed by the crypto community due to his accurate past analyses on Bitcoin price movements. In a tweet on May 22, he suggested that Bitcoin price could break below the $26,800 level, after which it would continue moving higher. Previously, he had recommended going long on Bitcoin and set a price target of $40,000.
According to Brandt’s analysis, there is a risk of Bitcoin’s price falling to $24,800. This prediction is supported by GoinGape Media, which also reported the same level based on on-chain data and technical indicators pointing to a possible drop in Bitcoin’s price. Such a drawdown could present an opportunity for investors to buy the dip.
Brandt added a warning for those who may be overly confident in their predictions and dismiss the potential downside risks in Bitcoin’s price. He advised against blindly following those who claim certainty in their foresight, emphasizing that predicting market movements is ultimately guesswork.
The global market is currently focused on the U.S. debt ceiling talks as President Joe Biden and Republicans struggle to reach a consensus. A default on U.S. debt could lead to a 40% crash in the global market, which would also initially affect the crypto market.
However, should the U.S. dollar’s dominance and treasury bonds be at risk, Bitcoin may experience a sharp rise. The ongoing impact of rate hikes and the banking crisis could continue to influence the market and investors at large.
At the time of writing, Bitcoin’s price is trading at $26,883, which is a 1% decrease in the past 24 hours. Notably, trading volume in Bitcoin has also experienced a significant decline within the last few days.
It is essential for investors to conduct their market research before investing in cryptocurrencies. The personal opinions of industry experts, like Peter Brandt, can be valuable sources of insight, but should be treated as supplementary information rather than absolute predictions. Market conditions are subject to change, and the author and publication do not hold any responsibility for personal financial losses incurred.
Source: Coingape
