Peter Brandt: Bitcoin may see another plunge before ATHs

Peter Brandt, a veteran trader, believes that Bitcoin will reclaim the all-time record of $125.100 this week. But not before one last major correction.

“Either a huge shakeout, which would be confirmed by an ATH quickly within the next week or so,” He said that, although he admitted there was also the possibility of a more negative outcome. 

“Or a violation of the parabola, which every time in the past has produced a 75% price decline. I think the day of the 80% decline is over, but perhaps back to $50-60,000 and test the lower skin of the banana.”

Considerations for traders “long-term risk,” Says an analyst

Crypto market crash on Friday following US President Donald Trump’s announcement that a 100% tax on Chinese goods would be imposed. over $19 billion in liquidations The market is a great place to start.

Bitcoins (Bitcoin) dropped to a low of $102,000 from their previous high of $121,000.BTCThe price of a, at the moment of publishing, has risen to about $112 400. according CoinMarketCap.

“If anything, this weekend was a reminder you have to be so careful with leverage, and even multiples above 1.5x are dangerous,” Charles Edwards, founder of Capriole Investments, told Cointelegraph.

“They do, and you need to always consider multi-year, long-term risk,” he stated. He described the volatility over the weekend as temporary and his outlook for coming weeks simply “up.” 

Others analysts, however, remain positive. They cite broader macroeconomic signs as indicators that more capital will flow to the crypto market over the next weeks.

“Buy everything,” Arthur Hayes, co-founder of BitMEX

Arthur Hayes is the co-founder and CEO of BitMEX said In an X message on Tuesday, Powell said that the US Federal Reserve Chairman Jerome Powell had signaled quantitative tightening. “is over.” 

“Back up the… truck and buy everything,” Hayes said. 

The quantitative easing of the banks will encourage them to increase lending. makes borrowing cheaper Interest rates are lower for both businesses and consumers.

Related: Bitcoin price reclaims key level as traders say $150K BTC still in play

Swyftx’s lead analyst Pav Hundal, who spoke to Cointelegraph Tuesday about the company’s plans for growth, said that “the fundamental economic data is the big story for Bitcoin right now.”

“Inflation is facing a double whammy at the moment from lower oil prices and demand, and at the same time, the US labor market is showing signs of distress,” Hundal noted that US inflation in August reached the highest level of 2.90% since January.