- “My loyalty is to my capital, not to any market,” – says trader Peter Brandt
- Meanwhile, prominent trader CryptoGianz sees the test of demand he was waiting for
Over the past week, the sentiments in the market have taken a wild hit.
Today, in another sell-off, Bitcoin went down to $4,435 after rising to nearly $6,000 following the Federal Reserve slashing the rate to zero and restarting the QE program on Sunday. However, today, the red markets started the week.
And according to trader Peter Brandt, bitcoin is going to sub $1,000 or even $0.
In the light of the ongoing global market dump, the veteran trader shared his experience of living through various cycles including the market crashes of 1987, 2000, 2008, and 2020. Brandt said,
Experience of living through various market cycles is a very valuable asset for a trader
Four reasons I am a swing trader, always use stops and remain liquid in my accounts
My loyalty is to my capital, not to any market
— Peter Brandt (@PeterLBrandt) March 12, 2020
Brandt previously called out that Bitcoin could go as high as $100,000 while also calling out for a bottom at $5,500 in the mid of this year.
On being asked if this is still his bottom or has things changed as the market is being hit by coronavirus, Brandt said, “If I interpret the chart without bias, I would say sub $1,000.”
He further shared how bitcoin can very well go down to zero. Brandt said,
All along I have stated my belief that there was a 50% chance BTC was going to $100,000 and a 50% chance it would go to $0, or literally zero. Once we broke through 7500 I place my bets on zero.
— Peter Brandt (@PeterLBrandt) March 13, 2020
With the market sentiments currently of “extreme fear,” this extreme of bearish sentiments aren’t exactly few and far between.
— Alistair Milne (@alistairmilne) March 16, 2020
Currently, bitcoin is trying to make its way back above $5,000, trading at $4,840 while managing the daily trading volume of $2.2 billion on top ten exchanges with real volume.
Amidst the growing skepticism, prominent trader with the pseudonym, CryptoGianz says,
I’m not bearish. I just see the test of demand I was waiting for. 4.3 will be defended this time I’d suspect. pic.twitter.com/kIShI8op1u
— CryptoGainz (@CryptoGainz1) March 16, 2020
On March 12, the price of bitcoin first started slipping, when it was trading just around $8,000. This fall in BTC prices saw the world's leading digital asset tanking to $3,850, a level we saw last in March 2019.
In a matter of two days, the digital asset lost more than 50% of its value and wiped out all the progress it made this year. At its current price of just above $4,850, BTC is in the red by 37% in 2020.
Altcoins followed bitcoin, a carnage that resulted in wiping out more than $90 billion from the entire market this past month.
The crypto market went into a deep red mode along with stock markets, treasuries, gold and every other asset over the concerns about the impact of coronavirus on the economy that has investors selling everything to acquire cash. Goldman Sachs' chief equity strategist David Kostin said,
“The coronavirus has created unprecedented financial and societal disruption. Equities are a leading indicator because a bear market has occurred without the release of any relevant earnings or macro data.”
For bitcoin, the massive liquidations on BitMEX only pushed bitcoin prices lower.