Peter Brandt, a 71-year-old trading veteran who back in January of last year predicted bitcoin’s 84% decline, has recently revealed he set a $50,000 price target for the largest cryptocurrency by market cap in the next two years.
Speaking on Yahoo Finance YFI PM Brandt, the founder of Factor Research and Trading, revealed he believes “charts reflect underlying supply and demand fundamentals and that’s how we have to look at it,” and added that he sees similarities between last year’s bear market and that of 2013-2015.
What’s happened from December of 2017 to 2018 is really an analog to what happened in the 2013 to 2015 bear market, where we saw sequential 10 up-and-down moves in the bear market and we’ve almost identically formed that same sort of pattern.
The trading veteran pointed out that he sees “the analogs are holding remarkably well,” and based on them believes the flagship cryptocurrency will go “back into a parabolic bull market.” Whether we’ll see BTC rise now and revisit 2018’s lows in the summer or not is a question he’s facing, he noted.
This month, bitcoin has seen its price rise by 29.5%, as the cryptocurrency is currently trading at $5,180. BTC hit a new five-month high thanks to a mysterious 20,000 BTC order made earlier this month, that helped BTC/USD trading pairs get to nearly 75% of the cryptos total trading volume against fiat currencies and stablecoins, up from its usual 15%.
After hitting a $3,200 low in December of last year, bitcoin’s price has been steadily rising, leading many to believe the so-called ‘crypto winter’ is now over. Nevertheless, options traders have shown little confidence in bitcoin hitting $10,000 this year.
Recently Tom Lee, a managing partner and head of research at Fundstrat Global Advisors, has recently said he believes BTC’s current ‘fair value’ is of $14,000, a figure he reached after considering the crypto’s fundamentals.
Interest in bitcoin has seemingly risen this week, as bitcoin-related searches tripled during this month’s rally, according to Google Trends data. As for Brandt, while speaking to Yahoo he noted he is “really not a fundamentalist,” as he doesn’t understand the cryptocurrency market, although he’s actively trading it.