Veteran trader Peter Brandt's earlier bearish Bitcoin call is facing a reality check after the largest cryptocurrency by market cap staged a sharp rebound and moved well above the $58,000–$62,000 zone he had previously identified as a potential downside target.
Brandt had said in January that $58,000 to $62,000 was where he believed Bitcoin was headed, while also acknowledging that he could be wrong. But Bitcoin's latest price action has changed the outlook considerably.
Bitcoin rallied ferociously in the past week as traders assessed the fallout from a recent spike in bond yields and a new initiative aimed at fiscal consolidation.
Bitcoin extended gains to near $80,000 on Friday after a record short squeeze forced bearish traders out of the market. The cryptocurrency climbed in a five-day streak, rising from a low of $62,679 on August 17 to $79,500 on August 21 before it slightly retreated.
At the time of writing, BTC was down 0.84% in the last 24 hours to $76,569 and up 21.56% weekly. Bitcoin last traded at $80,000 in May.
The rally seems to have been driven largely by short covering rather than a broad rush of traders taking new bullish positions.
Right or wrong?
Months after the October 2025 flash crash, in which a record $20 billion liquidation occurred, Brandt had projected $58,000–$62,000 for Bitcoin.
That scenario played out for a period, with Bitcoin trading in the $58,000–$62,000 range months after his prediction. Bitcoin dropped to a low of $57,717 on July 1 and traded sideways for months. However, the market reversed.
Brandt explained his reason for the bearish Bitcoin outlook, saying that there was reason to have expected a downside move in Bitcoin. In an X post in the past week, Brandt noted that an inverted H&S with a belabored right shoulder has a 60/40 chance of being resolved to the downside, and Bitcoin's trend was down. However, the completion of the H&S bottom changed this, adding that he 'bought the breakout for better or worse.'
Speaking on Bitcoin's recent price action, Brandt highlighted the presence of walls: "Does anybody remember when I posted about Price Walls (a decades-old TA tool) at the BTC bottom in 2021? Well, we are here again."
