Analyst Peter Brandt, who is closely followed by investors with over 50 years of experience, has issued warnings for Bitcoin.
Brandt pointed out that Bitcoin has seen an incredible rise in the past years, and that BTC, which was traded at $0.07 in 2010, reached approximately $98,000, an increase of 1.4 million times.
Brandt stated that these increases will not continue indefinitely and that investors who think that there will be a continuous increase are wrong.
Brandt underlined that young investors in particular are unprepared for such major corrections and warned investors about the dangers of excessive leverage and unrealistic expectations.
The analyst noted that investors should be prepared for the possibility of serious corrections, saying that Bitcoin could correct by 50%.
Brandt said that investors who think the rise will continue will miss the peak and explode when the big correction comes unless they give up.
Brandt argued that there is a possibility that Bitcoin could experience a 50% correction at some point, while altcoins and memecoins could face steeper declines, falling 90% and 100% respectively.
“I say this as someone who has witnessed the markets for 50 years. Some people are going to do great things from now on.
But too many traders will use too much leverage, miss the peak, and explode when BTC experiences a 50% correction, altcoins a 90% correction, and memes a 100% correction.
These corrections have hit traders before and it will happen again.”
I say this having witnessed markets for 50 years. Some will do great from here forward. But too many fools will get too leveraged, miss the top and get blown out in the next 50% correction in BTC, 90% correction in altcoins, 100% correction in memes https://t.co/o33Jnq4IHz
— Peter Brandt (@PeterLBrandt) January 6, 2025
*This is not investment advice.
