Legendary trader Peter Brandt has shared a new take on the current state of Bitcoin (BTC) price. This comes after the leading coin recently performed a major breakout in the year.
Notably, Bitcoin surpassed a downward trendline that limited the price all through January, February, and March.
Following the breakout, bullish sentiments resumed, and market participants increased buying. However, Peter Brandt is not optimistic about Bitcoin’s latest price action.
Peter Brandt’s Take on Bitcoin’s Current Price
Brandt, considered a trading legend, is not optimistic about Bitcoin reaching new highs in the current cycle.
The trader offered crypto community members on the X platform his interpretation of a Bitcoin chart, which he believes is bearish.
Brandt identified a trendline in the chart, which he noted does not indicate a price reversal trend.
Addressing his speech to “amateurs chartists,” Brandt said trendlines are least significant in determining future prices.
“A trendline violation does NOT signify a transition of trend BTC Sorry,” the legendary trader noted. Therefore, Brandt’s comments invalidated claims that the price of Bitcoin is set for a bullish rebound.
Indeed, trendlines are subjective and less dependable than moving averages or key levels.
Hence, a break does not always mean the trend is flipping. However, with solid clues, it could hint at a change in movement.
Analyzing Bitcoin’s price chart shows the coin will likely display a large decline soon as bearish signals have emerged.
Bitcoin has struggled to maintain its momentum, recently dropping from its peak of $105,000 to $75,000.
Over the past 24 hours, the BTC price has increased by 0.5%, pushing the coin towards $85,000. Despite the breakout potential, Bitcoin is trapped between $82,400 and $85,300 due to the lack of sustained upward momentum.
Bitcoin MVRV Trend and Key Expectations
On the upside, Bitcoin could soon see a bullish price reversal, according to the 30-day Market Value to Realized Value (MVRV) indicator.
According to CryptoQuant, the indicator is between 1.8 and 2.1, the lower region of the neutrality range.
This move suggests a market with a dominant feeling of extreme fear. In previous cycles, these zones have served as psychological and technical support, marking points of correction to the uptrend.
Specifically, when BTC dropped to $50,000, the MVRV reached similar levels before a new appreciation.
In the current chart, the MVRV reveals short-term investors are operating close to break-even or at a loss. Historically, this indicates exhaustion of selling pressure.
BTC Price Projections
Although the market sentiment is anchored in fear, some market analysts have predictive bullish outcomes for Bitcoin.
Merlijn Trader pointed out that Bitcoin’s current setup mirrors 2020’s reversal pattern. In that cycle, Bitcoin experienced a similar Q1 dip followed by Q2 strength, which led to a 500% rally.
From a technical perspective, chartist Gert van Lagen identified a continued breakout from a four-year inverse head-and-shoulders formation.
He, therefore, forecasted that Bitcoin could hit $300,000 unless BTC weekly closes fall below $75,500.
Another analyst, Dan Gambardello, identified a potential breakout pattern formation that resembles a similar setup from July 2021. This pattern preceded Bitcoin’s run to all-time highs later that year.
Gambardello highlighted a key resistance level on the RSI that, if broken, could signal a major move upward.
