Peter Brandt: Bitcoin Price Could Be Entering A New Parabolic Advance

Veteran trader, Peter Brandt, who called Bitcoin’s $20K top,” says it wouldn’t surprise him if Bitcoin price enters a new parabolic phase.

The Guy Who Wrote The Book

When the guy who wrote the book (and the sequel) on commodity trading with classical chart patterns speaks, you listen. If that’s the same guy who called the end of Bitcoin’s last parabolic advance at $20k, predicting an 80%+ decline to under $4000, you listen extra hard.

Well, pin back your ears, because Peter Brandt has something to say… or rather tweet, because… you know, nobody says anything anymore.

bitcoin Price: It’s All In The Charts

Brandt suggests that the current chart is a rough analog of the double bottom in 2015. This bottom followed the crash from Bitcoin’s previous parabolic move, which peaked in late 2013.

With this in mind, Brandt believes that either from the December 2018 low (of $3130) or a retest of this value Bitcoin could well be entering a new parabolic phase… which would be nice.

In the comments of his tweet, someone asked if Brandt had seen the parabolic analysis of Bitcoinist’s own market analyst filbfilb. However, he replied that he preferred to keep his opinion pure.

It’s Been A Long Time Coming

The return to a parabolic advancing phase for bitcoin price has been predicted ever since the last one finished. In fact, looking back to that time gives a very interesting perspective.

Bitcoinist was referencing ‘a MarketWatch source known as Filbfilb’, described at the time by fellow-analyst, Parabolic Trav, as very accurate. No wonder we hunted him down, and now keep him safely in a box, only getting him out periodically for Bitcoin TAs.

And what was Peter Brandt saying at the time?

Violation of parabolic advance could produce 12-24 mos of chop before new advance gains traction.

13 months of (mainly downward) chop later… and according to Brandt the new advance could be starting to gain traction. I wouldn’t bet against it.

If bitcoin does indeed enter a “new parabolic advance” then the chart suggests that a price of $100,000 USD could well be in play.

Will Bitcoin price go on another parabolic run similar to the one in 2017? Share your thoughts below!

Images via Shutterstock

Published at Sat, 06 Apr 2019 15:05:11 +0000

August 20, 2017

Bitcoin Cash (BCH) Value Triples In Less Than Two Days

After hovering around $300 for weeks after its initial fork, bitcoin Cash (BCH) skyrocketed to triple its value over the last two days.

On August 1, the bitcoin blockchain forked to little fanfare. Although the new bitcoin Cash (BCH) token quickly spiked to around $1000 in its opening hours, it soon after tumbled into a stagnant holding level around $300. In the meantime, Bitcoin surged past $4000 and posted all-time highs on a nearly daily basis. The question on everyone’s minds: Sell or hold their BCH?

Now it seems we have our answer. Like a phoenix rising from the ashes, BCH surged past previous highs to over $1000 on Saturday morning. It has since stabilized at $800 and is trading at $788.14 as of press time.

BCH’s trading volume also recently surpassed that of BTC. CoinMarketCap now shows BCH edging out BTC trading volumes by a margin of roughly 300 million. In the meantime, BTC price has been sliding down, although it has yet to dip below its $4000 benchmark.

The Canary in the bitcoin Mine

Thanks to bitcoin Cash’s new price, mining the BCH blockchain is now more profitable than mining legacy BTC. Additionally, block 479,808 on the BCH blockchain will likely adjust the difficulty for BCH mining downwards by 50% sometime this weekend.

Following this adjustment, bitcoin Cash miners will earn more than double mining BCH than they would legacy BTC. As miners switch to the new blockchain, the increased hashpower and lower transaction fees on the BCH blockchain will likely drive more investors to bitcoin Cash.

The original economic code that led to bitcoin's great success is alive and well in the form of #BitcoinCash. Watch what happens next: pic.twitter.com/H9SeCvGR8C

— Roger Ver (@rogerkver) August 18, 2017

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Although profitability on the BCH chain could potentially skyrocket over the weekend, other factors may encourage miners to remain on the BTC chain. For one, miners are paid and extra 1.5 BTC per block on the legacy bitcoin blockchain, leading to much higher rewards. Additionally, miners earn rewards on the BTC chain much faster than the BCH chain- bitcoin takes about 17 hours whereas bitcoin Cash takes about 34 hours.

As South Korea Goes, So Goes The Market

Increased demand from South Korea is also driving up prices. Trading jumped to ten times its previous volume prior to the surge, much of it in South Korean won. In fact, data from CoinMarketCap shows that roughly $2.1 billion of BCH’s $3.5 billion trade volume (around 60%) is coming from just three South Korean exchanges – Bithumb, Coinone, and Korbit.

Analysts previously surmised that increased international tensions between the US and North Korea were the driving factor behind BTC’s rally last week. Caught in the middle of this fiery rhetoric is South Korea, a current hotspot for digital currency trading.

With cryptocurrencies slowly becoming a new (if unlikely) safe haven from government turmoil, there now seems to be a growing connection between crypto trading and regional turmoil.

This was previously demonstrated in Africa, particularly in Nigeria, where the nairi lost nearly 40% of its value overnight due to crashing oil prices. Google Trends showed increased interest in bitcoin immediately following the crash, indicating an interest from Nigerian citizens in moving their money to a safer reserve currency.

This is also now being fully demonstrated in Venezuela, which is currently undergoing a sheer economic apocalypse. Prices for consumer goods in the South American country have skyrocketed a whopping 741% from early 2016 to early 2017. Venezuelan online travel agency Destinia will now only accept Bitcoin for payment citing “increasing restrictions” and economic woes in the country.

Do you think a new “flippening” is in the making? Will BCH overtake BTC in the near future? Tell us your predictions in the comments below.

Images courtesy of CoinMarketCap, Bloomberg

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