Experienced trader Peter Brandt thinks that the price of Bitcoin (BTC), the largest cryptocurrency by market cap, could experience a serious price drop. In his statements on the subject, Brandt pointed out that BTC could fall as low as $ 27,000. Considering that it is trading just under $40,000 at the time of writing, this means a drop of $13,000 is expected. Here are the details…
Peter Brandt predicts a decline for BTC
Brandt, who became famous in the cryptocurrency space for accurately predicting the collapse of Bitcoin in 2018, as we have also reported on Kriptokoin.com, He told his 633,200 Twitter followers that BTC could drop to $27,000. The decline of BTC, which is currently traded from just under $ 40,000 to $ 39,600, means a decrease of more than 30 percent. BTC, the largest cryptocurrency by market capitalization, has dropped more than 2% in the last 24 hours and the last 7 days.
Brandt also thinks that the Nasdaq-100 index may reflect the dot-com collapse of the early 2000s and says on Twitter that the chart gives him a déjà vu. If Brandt’s prediction about the Nasdaq is correct, it is thought that difficult days may come for Bitcoin. The reason behind this is that BTC’s correlation with exchanges is seen at very high levels.
Correlation between Bitcoin and stock markets caught the attention of experts
Just this week, popular cryptocurrency trader Jason Pizzino summarized how Bitcoin is highly correlated with the stock market, specifically the Nasdaq 100 index. The analyst states that for BTC to move in a healthy way, it needs to leave the Nasdaq. He points out that whenever there is negativity in the Nasdaq, BTC also decreases and states that if the correlation does not end, more negativity may be seen. Pizzino uses the following phrases:
Some of the challenges we have to overcome are leaving the Nasdaq… The problem lies in the Nasdaq itself, as we may be in more negativity on the Nasdaq, that’s in Bitcoin and Ethereum and of course crypto means more negativity in currencies.
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