Legendary Trader Peter Brandt Predicts Bitcoin (BTC) Meltdown Before 80% Rally, Says XRP Is 'Leader of the Pack'

Legendary trader Peter Brandt thinks that it is within the realm of possibility for Bitcoin (BTC) to witness a meltdown before igniting a nearly 80% rally.

Legendary trader Peter Brandt is keeping a close eye on Bitcoin (BTC), suggesting that the apex crypto could experience a massive price meltdown before igniting a nearly 80% rally.

Brandt shares his analysis with his 771,500 followers on the social media platform X, discussing a price pattern that BTC is displaying, using the terms bump, hump, slump and dump to describe the price action.

The pattern, which was also seen last year before BTC surged from $50,000 to above $100,000, suggests that BTC may “dump” to around $84,000 before recovering and heading toward $150,000.

“The big question in my mind is whether Bitcoin will get one more dump (or more lengthy congestive chop) before the pump. Remember, markets generally do not [soar] until retail traders get worn out.”

However, Brandt also points out that BTC could potentially drop lower, possibly down to $76,000, if it completes a bearish head-and-shoulders (H&S) pattern on the daily chart.

A head-and-shoulders pattern usually indicates that an asset is losing momentum and could reverse its uptrend if the price breaks below the structure’s support. According to Brandt's chart, BTC's support level is around $90,000.

“This is a classic H&S top pattern. BTC H&S patterns can do one of three things:

-Complete and trend to target

-Fail with a bear trap

-Morph into a larger pattern.”

At the time of writing, BTC is trading at $94,625.

Shifting his attention to payments-oriented altcoin XRP, Brandt shares a chart indicating that the altcoin has broken out of its six-week consolidation after shattering its diagonal resistance at $2.38.

“Leader of the pack XRP.”

At the time of writing, XRP is trading at $2.53.