BTC Could Drop to $13,000 and Enter 'Drano Chart Pattern'

Peter Brandt is a well-known analyst who predicted the 2018 crypto winter. He has stated that if Bitcoin does not recover to the $32,000 level, it may continue to fall as low as $13,000.

With nearly 50 years of market experience, Peter Brandt is now one of the most prestigious analysts in the cryptocurrency community, especially after predicting the 2018 crypto winter.

Last week, Brandt published his analysis of the current state of Bitcoin's decline on his Twitter account. Unfortunately, it adds to cryptocurrency enthusiasts' pessimism.

$13,000 for Bitcoin?

Bitcoin was last traded at $13,000 in November 2020, when the asset was showing signs of entering a strong bull cycle. It culminated in a more than 400 percent increase and a new all-time high of $69,000 a year later. According to CoinGecko, the world's largest cryptocurrency has since entered a downtrend, losing 70% of its value.

Many people believe that after retesting the previous all-time high of $20,000, BTC will soon rise again. For Brandt, however, the asset could continue to fall, reaching the $13,000 level. According to the analyst, this could happen as a result of a double top formed near the current record price.

Drano chart pattern and Peter Brandt

The asset dropped sharply after forming a double top, which is considered one of the most significant trend reversal patterns in technical analysis. Brandt adds that the likelihood of this drop increasing if Bitcoin fails to reclaim the $32,000 level it lost earlier this month.

"Unless Bitcoin $BTC closes above the May 31 high, this chart may become a classic example of the well-known "Drano" chart pattern."

Former BitMEX CEO Arthur Hayes believes Bitcoin will continue to fall. According to him, if the asset loses its $20,000 support, graphical analysis "will be useless for a while," and cryptocurrency investors will be forced to pray to "Mr Satoshi and hope he shows kindness."

Peter Brandt: The Crypto Winter Is Over

According to Peter Brandt, the current crypto winter will last a few more months, with a new all-time high for Bitcoin price only expected in 2024. However, he notes that "until then, we will be in a massive uptrend."

Du Jun, the founder of the Huobi exchange, believes 2024 will be a good year for Bitcoin. He claims that the halving scheduled for this year will be the primary catalyst for the asset to enter a new uptrend.

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