Bitcoin's price chart is starting to show similarities to the soybean market about 50 years ago, which saw prices soar before falling 50% as global supply began to outstrip demand, warns veteran trader Peter Brandt.
However, other Bitcoin (BTC) analysts are confident that the charts point to further upside in the future.
“Bitcoin is forming a rare expanding top on the charts. This pattern is famous for tops,” Brandt told Cointelegraph.
“In the 1970s, soybeans made such a peak, and then their value dropped by 50%,” Brandt said.
Brandt warned that if history were to repeat, it would not only impact Bitcoin, but would also leave Michael Saylor's company's strategy “underwater.”
Strategy (MSTR) stock price has fallen 10.13% over the past 30 days amid the company's Bitcoin Treasuries facing increasing pressure from a sharp decline in net asset values (NAV).
Peter Brandt says Bitcoin's 'final trend' may not be coming
Brandt also warned that the big Bitcoin pump the cryptocurrency community has been waiting for may never happen, and instead, Bitcoin could head to bear levels as low as $60,000.
However, most analysts believe that Bitcoin still has one major rally left in this cycle, a move that could push Bitcoin's price to $250,000, according to industry participants such as Arthur Hayes, co-founder of BitMEX.
The fourth quarter is historically the strongest quarter for Bitcoin, with an average return of 78.49%, according to CoinGlass.
October is also seen as a strong month for Bitcoin.
However, sentiment entered a downward trend after recent tariff concerns imposed by US President Donald Trump led to a broader market decline after record highs, making analysts more cautious.
Cryptocurrency sentiment drops to 'extreme fear' level
In what should be a bullish month for cryptocurrencies, the Cryptocurrency Fear and Greed Index registered an “Extreme Fear” score of 25 in its update on Wednesday.
Related to: 'Bitcoin bull market is over', traders say, warning of 50% Bitcoin price collapse
“Bitcoin really needs to hold steady here, holding the recent high lows and making another attempt at the monthly open where it was rejected yesterday,” said AlphaBTC trading account on X.
However, not all analysts are bearish.
Bitcoin's “window of opportunity” could quickly open again for potential upward price movement if the US Consumer Price Index (CPI) shows any signs of relief or “the clean disinflation narrative continues,” said David Hernandez, a crypto investment specialist at 21Shares.
“Bitcoin is coiled and ready to go higher.”
Meanwhile, Michael van de Poppe, founder of MN Trading Capital, pointed to gold's recent 5.5% decline from its highs as a sign that the “shift” to Bitcoin and altcoins may begin.
magazine: Bitcoin will suffer if it can't get gold, and XRP's rise will return to the fray: trade secrets
