Even as Bitcoin (BTC) flirts with new highs, veteran trader Peter Brandt has issued a stark warning: a massive 75% crash could be imminent.
Drawing chilling comparisons to Bitcoin’s 2022 chart, Brandt’s alert comes just ahead of crucial US CPI data, which could dictate BTC’s next move.
Brandt’s analysis points to a familiar pattern emerging on Bitcoin’s technical charts, leading him to question if “Bitcoin ($BTC) [is] following its 2022 script and setting up for a 75% correction?” The chart indicates BTC is at a critical juncture, capable of either breaking higher or plummeting.
Despite recent bullish momentum pushing Bitcoin to $110,000, on-chain data from Glassnode suggests the derivatives market might be overheating. While funding rates remain modest, signs like rising short liquidations and increasing long-side premiums signal potential short-term volatility.
The immediate future hinges on macroeconomic factors, particularly the upcoming US CPI numbers for May. An inflation uptick could trigger selling pressure and potentially delay Federal Reserve rate cuts.
However, a recent $1 billion surge in Tether’s USDT supply offers a counter-narrative, possibly injecting fresh liquidity to fuel a Bitcoin rally. The market anxiously awaits Wednesday’s CPI release.
Bitcoin is once again mirroring global liquidity trends—and that could have major implications in the days ahead.
The crypto market is showing signs of cautious optimism. While prices remain elevated, sentiment indicators and trading activity suggest investors are stepping back to reassess risks rather than diving in further.
Citigroup analysts say the key to Bitcoin’s future isn’t mining cycles or halving math—it’s ETF inflows.
Bitcoin may be entering a typical summer correction phase, according to a July 25 report by crypto financial services firm Matrixport.