As traders try to guess what’s next for bitcoin following a surge that’s sparked bubble talk, one influential chart watcher has taken a shot at a prediction.
“Shown on this chart are my two best guesses for how prices will unfold in the days ahead,” veteran trader Peter L. Brandt told subscribers to his newsletter, in a missive dated Saturday.
His chart below indicates the $14,000 mark is coming up for bitcoin BTCUSD, >-1.60% , implying a gain of about 25% from its recent print around $11,200.
The leading cryptocurrency will either climb straight to $14,000 or first pull back to $9,200 before heading to $14K, said Brandt, who has been dubbed a “legendary trader” and one of finance’s most influential sources.
He expressed wonder at bitcoin’s massive advance, which has topped 1,000% in the year to date.
“In my 43 years as a speculator, I have never seen anything like the current bull market in bitcoin,” Brandt said. “I believe bitcoin is in a bubble, but bubbles can go on for far longer than anyone thinks.”
At the same time, he offered this warning: “Parabolic bull markets historically do not end well.”
But he also shared the chart shown below, which suggests the digital currency could draw buyers at $8,100, if it tumbles back to that level. That mark is an area bitcoin once struggled to top, and “previous levels of resistance, once overcome, have become levels of support,” he wrote.