Commodity trading veteran Peter Brandt is certain that the coronavirus-induced crisis is a matter of life or death for the cryptocurrency industry. If Bitcoin cannot rally against the backdrop of this economic mayhem, then crypto is in 'big trouble,' according to the prominent chartist.
For BTC, this is the perfect storm.— Peter Brandt (@PeterLBrandt) March 27, 2020
If Bitcoin cannot rally on this, then crypto is in BIG trouble.
A once-in-a-lifetime crisis
In his Twitter thread, Brandt mentioned that the U.S. Congress was in a 'time capsule' sent straight from the 1930s when America was in the middle of a severe economic depression. Back in 1933, the U.S. reached its peak unemployment rate of 26.7 percent.
With the stock market suffering its most precipitous drop on record and 3.3 mln Americans filing unemployment claims in one week, the 'D' word makes frequent appearances in headlines. Nobel-winning economist Nouriel Roubini (a.k.a. 'Dr. Doom') predicted that the U.S. could see even a 'greater depression' due to healthcare nightmares, growing inflation, and possible geopolitical shocks.
Not much time left
Bitcoin has so far failed to convincingly decouple from risk-on assets. Veteran trader John Bollinger, who expected BTC to perform as a safe haven, recently mentioned that all correlations tend toward zero during such crises.
Prior to his latest tweet, Brandt opined that BTC didn't have much time left to prove itself. Despite making tons of bullish predictions, he doesn't have a problem with radically changing his bias when markets go south, which is what every seasoned trader is supposed to do.
Right after the March 12 crash, he made a stunning prediction that BTC was more likely to go to zero than $100,000, but he still apparently believes that the leading cryptocurrency is able to turn things around.