According to external sources, Peter Brandt, a senior futures dealer, has been converted to Dobitcoin. He had previously tended to be empty, but had changed his judgment this week after prices had exceeded critical resistance. The report mentions that this shift is related to a less visible inverted pattern in CME futures dailies.
Changed judgment after price breaks
In the preceding period, bitcoin was weak and the market was under constant pressure. Brandt has also publicly stated that there are reasons for the price to continue to go down. In his judgement at the time, the longer time of right shoulder formation, combined with the overall downward trend, made this pattern more likely to be completed downward.
This week, however, has broken that expectation. Bitcoin broke up resistance in the vicinity of $64,000 and stood firm after the break, ending a few weeks of consolidation. As prices moved out of the basket, market volatility increased significantly.
The back shoulder neck line was broken.
It was reported that on the dailies of the BTC-056 contract for CME bitcoin futures, prices had risen to key neck lines in the reverse shape of the head shoulder. This pattern is not common in the current market cycle, and the accelerated effects of breakthroughs are of greater concern.
- Key resistance position is about $64,000.
- It's about $72,335.
- One-day increase of approximately $2,585
Brandt says he's on the break-in.
Brandt stated that the original judgement had changed when the bottom of the back shoulder had been completed. Instead of continuing his previous empty positions, he chose to adjust his position to the signal of a breakthrough.
In response to external questions, he referred to the statistical advantages of risk management. At its core, it means that the outcome of a single transaction may not necessarily be indicative, but if a trading system has a small advantage in a large number of samples, it may create a positive gain expectation in the long run.