Bitcoin’s Bottom Hasn’t Arrived Yet: Analyst Opinion

Bitcoin’s bottom hasn’t arrived yet according to analyst Peter Brandt who outlined a lack of massive volume panic capitulation as a reason so let’s read more in today’s bitcoin latest news.

Although bitcoin is already more than 30% down from its all-time high, Peter Brandt thinks that the asset might not have reached its bottom yet. The CEO of Factor LLC said that there hasn’t really been a high volume panic capitulation yet just to outline the bottom as with previous corrections. It was over a month ago when the entire crypto market was on a bullish positive development that came from all directions. The most notable news at the time was that the US will finally have a Bitcoin ETF that will propel a huge rally and cumulate in breaking the previous high and registering a new one at $69,000.

😨 We're seeing signs of #Bitcoin capitulation after prices have remained below $50k for the past 6 days, and majority of December. This is the most negative trader commentary since early October, a good sign prices can finally bounce after all the #FUD. 👍https://t.co/ZJhdJtGhCK pic.twitter.com/5RmQGbOVPd

— Santiment (@santimentfeed) December 19, 2021

A lot can change in this volatile asset space and it did. Instead of continuing the 2021 bull run, BTC reversed its trajectory and started losing value gradually. Now, about six weeks later, BTC found itself floating near $46,000 which means that the asset lost more than 33% of its value in the timeframe. While this was a huge price drop on its own, the trader Peter Brandt thinks that the low volume and lack of panic could mean that BTC is not out of the woods yet. As Brand’s charts show, Bitcoin’s bottom hasn’t arrived yet and the trading volumes are still low even during the massive crash two weeks ago. On a previous occasion, the volumes surged when BTC entered a downturn that later on turned out to be a local bottom.

Implications of volume

Key bottoms in $BTC have occurred with high volume panic capitulation

That has (yet???) to happen

Thoughts??? pic.twitter.com/dYmDNADxuP

— Peter Brandt (@PeterLBrandt) December 20, 2021

The most notable example was back in March when BTC dumped by more than 50% in a day when the COVID pandemic emerged. The overall spot trading volumes reached a new high but BTC never visited those levels again. With the price drop, the general mood among most of the community turned negative which is to be expected to a larger extent. Apart from the Extreme fear feelings that were shown in the BTC fear and Greed index, the analytics platform Santiment outlined another bad sign. As BTC remained below $50,000 the company saw a good sign that can boost the prices finally.