U.Today – Peter Brandt has provided an insightful analysis on the current cycle, which paints a mixed picture for digital gold. Brandt is known for making accurate predictions about the market, and his analysis of the Bitcoin cycle is no different.
He starts from the previous bear market low in November 2022 and measures Bitcoin cycles differently than most traders. The crucial point, in his view, is that the peak of this cycle, which began before the planned halving in March 2024, has not yet been reached.
Surprisingly, after accounting for inflation, the peak of the latest bull cycle remains stable. Three key takeaways can be drawn from Brandt’s analysis. First, there is a discernible pattern of lower highs and lower lows for Bitcoin. This downward trend implies that there has not been the energy needed to propel Bitcoin to new heights.
The second point is that the lows have a continuous downward slope. This pattern suggests a continued lack of buying pressure, or momentum, which can be problematic for investors hoping for an imminent recovery or all-time highs. In closing, Brandt notes that this cycle is different from others in that it has never taken Bitcoin this long to reach a new all-time high after a halving.
Brandt’s outlook is consistent with broader market concerns. His finding that the Bitcoin cycle is taking longer to recover could be an indication of deeper structural problems, or it could simply be a reflection of the macroeconomic climate. A number of variables influence the price of Bitcoin, including interest rate inflation and global financial instability.
At the very least, the ongoing sequence of lower highs and lower lows may indicate an extended period of consolidation. While some people may still be optimistic about Bitcoin’s long-term prospects, Brandt’s analysis serves as a sobering reminder that there may not be many more highs to come.
This article was originally published on U.Today
