While many analysts cheer Bitcoin’s current price and remain optimistic that the cryptocurrency will top $50,000 soon, some traders are not so positive. One of them is Peter Brandt, who said he was not so excited about the BTC’s recent moves.
To justify his pessimism, the trader said that the formation of a rising wedge on the chart is a cause for concern.
In addition, the analyst questioned your Twitter followers whether the rising graphical pattern will meet expectations or disappoint.
“Growing wedge – will it meet bullish expectations or will it lead to a fall in the price of BTC?” questioned.
The trader’s concern is that a rising wedge pattern sometimes signals that an asset’s price is about to fall.
Analyzing the chart to predict future movement, Brandt he said which has a long position in the main cryptocurrency. However, he is concerned about the high level of bullish sentiment.
“It doesn’t matter if I’m optimistic or bassist. I am substantially purchased. But I’m worried that the bullish sentiment remains too high. ”
Earlier this month, the seasoned trader said Bitcoin was still on a “long-term uptrend”. Despite this, he acknowledged that volatility would continue to be a key feature of cryptocurrency.
Model suggests high
Brandt’s concerns contrast with the views of PlanB, the analyst who popularized the stock-to-flow model.
Unlike Brandt, PlanB he said that, according to the stock-to-flow model, the BTC is in the second stage of a rally. The model in question assesses the value of Bitcoin by dividing the total offer by the new offer.
“Both Bitcoin S2F [estoque para fluxo] (white line) and the on-chain sign (color, not yet red) still indicate a second stage of this bull market.”
Finally, analyzing the chart, PlanB affirmed yet Bitcoin will reach six-digit levels.
“IMO [na minha opinião] we are going up, first to [US$ 100 mil], later [US$ 288 mil]”, he said.
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