Bitcoin Could Surge 20% to $134,886 Says Veteran Trader Peter Brandt

Veteran trader Peter Brandt, renowned for his technical analysis, recently marked his 40th year in the field with a significant statement about Bitcoin's potential price surge. Brandt highlighted that Bitcoin's new record of $112,040 on Wednesday is a critical point, emphasizing the importance of maintaining the price above the $107,000 threshold. He warned that if the price drops below this level, the current bullish formation would be invalidated.

Brandt's analysis focuses on an expanding inverse triangle formation, which he believes could push Bitcoin's price to $120,958 and potentially $134,886. However, he cautioned that these targets are contingent on the support line holding, as a failure could dramatically shift the potential outcomes. The expanding triangle formation, with its upper boundary breaking upwards, indicates that Bitcoin is exiting its narrowing consolidation phase and gaining upward momentum. Brandt estimates that Bitcoin could initially rise to $120,958, followed by $134,886, based on the vertical height of the triangle.

Despite the optimistic outlook, Brandt noted that expanding triangles historically have a limited success rate. As the range widens, volatility increases, and investor behavior becomes less predictable. He emphasized that achieving these target levels is contingent upon buyers maintaining the price within the primary ascending channel. Without this, the formation could falter, evolving into an unexpected downturn pattern.

Brandt identified $108,100 as a critical support level, a point that Bitcoin has struggled to breach for a long time. This level has emerged as the central axis of Bitcoin’s price action, now serving as the first line of defense for buyers. If Bitcoin closes below $107,000 on a daily basis, it would erase the bullish outlook and pave the way for a more profound correction. Brandt reiterated that if Bitcoin falls below $107,000, the bullish scenario would be negated, labeling it as a “critical breakdown.” In such an event, the market would seek out a new technical structure, leaving investors potentially disoriented.

Brandt's bullish outlook is supported by his previous prediction that Bitcoin could surge to $118,000 in the near future. This prediction is based on his analysis of Bitcoin's price movements and patterns. The current spot price of Bitcoin, which indicates a bullish setup with a potential rally to $134,000, further supports his optimism. However, Brandt has also identified an expanding inverted triangle pattern in Bitcoin's daily price movement, which suggests a higher risk of a significant price correction or "mortality."

Brandt's analysis highlights the dual nature of Bitcoin's price movements, where both bullish and bearish patterns can coexist. While the potential for a price surge to $134,000 is significant, the presence of a bearish pattern indicates that investors should be cautious. Brandt's strategy involves being long on Bitcoin but also being prepared for potential price corrections. This approach allows investors to capitalize on the potential upside while mitigating the risks associated with market volatility. Brandt's insights provide valuable guidance for investors navigating the complex and dynamic world of cryptocurrency markets.