Veteran trader Peter Brandt recently pointed out that Bitcoin (BTC)’s recent rally is not enough to change its long-term bearish pattern. Brandt emphasized that while Bitcoin briefly surged, it hasn’t reached the levels needed to confirm a trend reversal. He argues that BTC would need to close above $71,000 and hit a new all-time high to signal a true bullish shift.
For over seven months, Bitcoin has been on a consistent downward trend of lower highs and lower lows, which is a strong indicator of continued bearish sentiment. Despite the temporary optimism, the pattern remains the same. According to To Brandt’s chart analysis.
Brandt identified two key resistance levels that Bitcoin was unable to break. The first was $70,602 and the second was an all-time high of $73,808. These barriers have repeatedly halted BTC’s upward momentum. Unless these levels are clearly exceeded, the market is likely to continue in a correction phase.
The veteran trader emphasized that the recent rally does not disrupt Bitcoin’s series of lower lows and the bearish framework remains in place. According to Brandt, a reversal will only be confirmed if the price breaks above $71,000.
Bitcoin moving average and volatility
Support currently lies at the 8-week simple moving average (SMA) at $60,526. BTC price is hovering around this line, indicating uncertainty. Additionally, the average true range (ATR) is 5,756, indicating moderate volatility. This suggests that although the market may move significantly, it has not yet entered an extreme phase.
Other market experts, including chart analyst Willy Wu, agree with Brandt’s outlook. Wu believes that while Bitcoin may eventually reach new all-time highs, the market needs more time. He predicts a one to three week cooling period before the next bullish attempt. Wu suggests that BTC is likely to trade sideways before a stronger uptrend emerges towards the end of the year.
For now, Bitcoin’s near-term future is uncertain, with traders keeping a close eye on the crucial $71,000 breakout.
