Veteran trader Peter Brandt has warned that there is a 50% chance that Bitcoin (BTC) will crash below $40,000 this cycle.
Brandt told his 734,000 followers on social media platform X that Bitcoin could crash by more than 35% from its current value by the end of next year.
“I believe there is a 50% chance that BTC will drop below $40,000 before the last half of the halving.”
Brandt also suggests that Bitcoin’s price action this year could be forming an inverted right triangle, similar to the black swan event Bitcoin experienced at the start of the COVID-19 pandemic in 2020. This pattern is also known as a descending expanding wedge, and if the lower trendline holds as support, it could lead to a bullish reversal over time.
“The inverted right triangle was created by Richard W. Schabacker in his 1934 book Technical Analysis and Stock Market Profits. Here is the Bitcoin chart. The upper boundary is not horizontal, but I still think the two fit together well.”
At the time of writing, Bitcoin is trading at $61,306, up 10.7% over the last 24 hours.
Brandt then shared a chart showing that smart contract platform Solana (SOL) is clearly going to outperform its competitor Ethereum (SOL/ETH) in the coming months, noting that this trend could continue due to key differences between the two networks.
“It was clear that there would be a clear winner in the battle between SOL and ETH.
- ETH: It’s hard to deal with, expensive, flawed, and claims to be decentralized, but it’s not.
- SOL: Easy to use, great foundation.
SOL will be 100% profitable on ETH in the coming months.”
At the time of writing, SOL/ETH is trading at 0.06059 BTC ($160), down slightly over the last 24 hours.
Don’t miss out – subscribe to receive email notifications straight to your inbox
Price check task
Follow us XFacebook and Telegram
Surfing the Daily Hodl Mix
 
Disclaimer: The opinions expressed on The Daily Hodl are not investment advice. Investors should do their own due diligence before making any high-risk investment in Bitcoin, cryptocurrencies or digital assets. Your transfers and transactions are at your own risk and any losses you may incur are your own responsibility. The Daily Hodl does not recommend buying or selling cryptocurrencies or digital assets and The Daily Hodl is not an investment advisor. The Daily Hodl participates in affiliate marketing.
Generated image: Midjourney