Chart Pattern Resemblance Sparks Concern
Veteran trader Peter Brandt has issued a cautionary note to crypto investors, suggesting that Bitcoin’s current price structure closely mirrors the 2021 market top, which preceded a steep correction.
In his latest technical analysis, Brandt presented two nearly identical price formations—the first from November 2021, and the second from the current trading range between $105,000 and $110,000. Both patterns show a stalling consolidation near all-time highs, following sharp rallies.
This resemblance raises a critical question: Is Bitcoin on the verge of another major reversal?
Why This Comparison Matters
Brandt’s analysis carries weight due to his decades-long track record of identifying key market turning points. In 2021, the similar setup led to a prolonged bear market and a drawdown of more than 70% from peak to trough.
Although Brandt has not confirmed this as a market top, he framed the current structure as potentially dangerous, asking, “Is this November 2021 all over again?”
If Bitcoin breaks down from the current range, traders may see a repeat of the 2022 correction, which wiped out over a trillion dollars in crypto market cap.
Current Market Conditions
Bitcoin is trading just under $105,000, facing strong resistance near $108,000. Weekly candles are forming with long wicks and narrow bodies, a classic sign of market indecision. This sideways behavior could be interpreted as either consolidation before a breakout or distribution before a reversal.
- Open interest in futures remains flat, suggesting reduced speculative activity.
- On-chain data shows neutral-to-mildly bearish flows, with no major accumulation spikes.
- Macro headwinds — including inflation uncertainty and regulatory pressure — are also weighing on sentiment.
What Traders Should Watch
A decisive move below the $102,000–$100,000 support zone could confirm Brandt’s warning and trigger further downside, possibly toward the $85,000–$90,000 range. Conversely, a clean breakout above $110,000 with volume would invalidate the bearish setup and reaffirm bullish momentum.