Legendary Trader Believes Bitcoin Is Forming Another Pennant Pattern
One of the most popular and influential traders in crypto and the financial industry, Peter Brandt, has shared with his clients chart patterns on bitcoin that could guide the cryptocurrency’s next move.
Brandt also added a sarcastic comment, stating that if a pattern on the chart looks like a pennant and acts like one, it’s probably a pennant. Unfortunately, in the case of bitcoin, another finding suggests that the first cryptocurrency could take another hit in the coming weeks or days.
Fortunately, the sign itself is not a direct indication of an upcoming decline for any type of asset, including bitcoin. The chart pattern can help traders determine whether there will be an increase in market volatility, a much-anticipated move from bitcoin which has been showing extremely low volatility for the past two weeks.
As per the chart provided, Bitcoin had already painted two patterns that indicated an upcoming spike in volatility. Unfortunately, it was a drop that pushed the price of the first cryptocurrency below $20,000.
Smaller investors still believe in BTC
As U.Today covered earlier, the number of addresses holding 1 or more BTC on their balances is growing rapidly, despite the negative price performance of digital gold.
Historically, the activity of large investors and institutions has increased during the consolidation period of BTC, and we may see an increase in the number of wallets holding the cryptocurrency in the near future.
As of press time, bitcoin is in the $20,000 range and has not lost around 0.14% of its value in the past 24 hours.