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Bitcoin Price Has One Concern, Reveals Legendary Trader Peter Brandt

Published 2024-09-23, 11:58 a/m
© Reuters.  Bitcoin Price Has One Concern, Reveals Legendary Trader Peter Brandt
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U.Today - Recently, Peter Brandt, who is considered a legend in trading on the financial markets and has been active in that sphere since the 1970s, revealed that he is currently excited about major cryptocurrency Bitcoin (BTC). This insight came after Brandt reviewed the ratio of BTC to gold, where the former is considered a kind of analog of the precious metal and is often referred to as "digital gold."

In particular, the trader did not rule out the possibility that Bitcoin could see almost 520% growth in its price against gold in the coming months.

However, when further asked what he thought about the fact that the cryptocurrency has already lost its uptrend line against gold futures, Brandt said he does not trust or use trend lines, but he is concerned that BTC remains below its 2021 high in inflation-adjusted terms.

"Could it roll over for a complete new reset?" the trader asks, saying he does not rule out such an outcome.

What's wrong with Bitcoin price and inflation?

Brandt's concern refers to the fact that even though the price of Bitcoin surpassed $69,000 this year and reached a new de jure all-time high in the neighborhood of $74,000, the new de facto price high has not been reached if one approximates inflation by these values.

According to various estimates, Bitcoin would have to reach around $78,000 to break the November 2021 levels. The "who to blame" here is of course not the cryptocurrency itself, which has seen growth of almost 290% since the beginning of 2023, but the U.S. dollar, in which the price of BTC is often denominated.

This article was originally published on U.Today

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