Veteran trader Peter Brandt has issued a warning about Bitcoin, as the leading crypto asset is forming a bearish chart pattern on the weekly timeframe.

On social media platform X, where Brandt has 737,000 followers, he said Bitcoin is forming an “inverted expanding triangle” (megaphone) pattern on the weekly chart. In technical analysis, this pattern can signal either a bullish or bearish trend, depending on whether the price breaks the upper (bullish) or lower (bearish) band.

Source: Peter Brandt

Brandt noted that if Bitcoin retests the lower boundary of the inverted expanding triangle pattern, the price could fall about 19% from current levels, pushing the price down to around $46,000. “For the bull market to resume, a strong push to new record highs is needed,” he emphasized.

Brandt also noted that, in this model, “selling pressure is stronger than buying pressure,” warning of the possibility of a further Bitcoin price correction.

Commenting on Bitcoin’s recent correction, Brandt shared more about the drop from the $56,500 region to $53,200. He noted that the last time BTC closed at such a low was on February 25. Brandt’s chart shows that Bitcoin has been steadily falling since mid-March after reaching a record high of $73,750.

Since that all-time high, Bitcoin has fallen 26.39%. Despite small rallies, the downtrend has lasted for more than half a year. Brandt points out that “there are two aspects to a correction – price and duration.” He emphasizes that it is the length of the correction that puts more psychological pressure on investors than the sharp drop in price over a short period of time.

“Prolonged corrections can take a greater psychological toll than sharp corrections,” Brandt stressed.

While Brandt is bearish on Bitcoin, crypto analyst Ali Martinez has a different take. On the X platform, where he has 70,300 followers, Martinez noted that, historically, Bitcoin's price performance in October has been the opposite of what happened in September.

“While September is typically a tough month for Bitcoin, remember that October is just around the corner. October, also known as ‘Uptober,’ is notoriously one of the best months for BTC.”

Source: Ali Martinez

At the time of writing, BTC is trading at $54,300.