Veteran investor Peter Brandt thinks there is a correlation between Bitcoin’s recent market correction and the “laser eye” trend on Twitter.
Technical analyst, In his post dated April 18 He suggested that the correction was due to unreasonable enthusiasm in the market:
“The possibility of correction in the crypto market is directly related to the presence of laser eyes on Twitter. Do you want the fix to be finished? Get rid of laser eyes. “
The laser eye began to be used as a symbol by Twitter users and figures and leaders of the crypto industry, hoping that BTC will see $ 100,000 in February 2021.
Interestingly, this trend coincided with BTC reaching $ 57,800 on Feb.21 and a 25 percent correction to $ 43,500 a week later.
Bitcoin fell 17 percent from $ 64,600 to $ 53,600 in the correction this weekend.
Brandt, on the other hand, is not too concerned about this fix. The analyst thinks the 20 percent corrections have remained historically mild. Brandt explained in his April 20 post that Bitcoin tends to test its 18-week moving average during bull markets. BTC’s 18-week moving average currently stands at $ 46,615. It requires a much larger 28 percent correction to stretch to this level.
Draw-down in Bitcoin of 20.0% to date is very mild historically.
There is a strong history of $ BTC bull trends to test the 18 week MA (currently at 46,615).
I personally doubt such a retest will occur, but Bitcoin has a history of pulling surprises. pic.twitter.com/lyfXlgpAHK
— Peter Brandt (@PeterLBrandt) April 19, 2021
According to Brandt data, BTC has experienced an average of 35 percent decline in its last 14 corrections. For such a correction, BTC must decline to $ 42,000.
Brandt explained the laser eye theory during an interview with crypto researcher Laura Shin on April 13:
“You know that as people adopt the laser eye, the market will fluctuate and stop rising at least for a while. As people increasingly show their laser eyes and ownership of BTC, this signals that the market will at least take a break. “
BTC is trading at around $ 53,600 as of the time of translation broadcast.