Veteran Trader Peter Brandt Shares ‘Sacred Trading Rule’ as Bitcoin Falls, Warns Against Buying the Dip – Bitcoin News

Veteran trader Peter Brandt has shared “a sacred trading rule” he uses in response to a comment about buying bitcoin as the price of the cryptocurrency continues to fall. “Never add to a losing trade,” he affirmed.

Peter Brandt Offers Trading Advice

Peter Brandt, a veteran trader has an advice for those who are considering purchasing the dip. Brandt started his career as a FX and futures trader back in 1975. Brandt is also a chartist, and author of the Factor Report. Trades include Dow futures and bonds, Osaka Dow, European wheat, Osaka Dow as well as crude oil, European grain, Osaka Dow, U.S. dollars, sugar, and European wheat.

Brandt responded to a tweet indicating that long-term hodlers may have additional options to purchase bitcoin at a lower price in the future.

Never add to losing trades is a sacred rule of trading that I use.

A tweet by him explained how people had been saying the exact same things about silver futures since 1980, when it reached $50. “lt then sank to a low of $3.65 and did not start back up for 24 years,” he stressed. However, the trader said that he does not predict that bitcoin would follow that path.

Bitcoin’s price has dropped significantly over the last week. It lost more than 10% within seven days. Based on data from Bitcoin.com Markets, it is currently at $41,657.45

Brandt commented on bitcoin’s violation of the parabolic advance on the Bitcoin Live discussion Thursday.

However, he tweeted Friday: “I saw the violation of the parabolic advance and commented on it in real time to members of Bitcoin Live in real time, but in hindsight, I might not have taken the event seriously enough. We’ll see.”

His tweet was followed by another. Noting that “Some view predictions as a ‘one-and-done’ event. Ich bin [a]Bayesian probability, student. Predictions and analysis must always morph relative to the events of the time,” he concluded:

If circumstances change, forecasts need to change. BTC might not be driven by the parabola.

What do you think of Peter Brandt’s advice? Leave your comments below.

Kevin Helms

Kevin is a graduate of Austrian Economics. He discovered Bitcoin in 2011, and has been an advocate ever since. His main interests are in Bitcoin security, open source systems, network effects, cryptography, and intersections between economics, cryptography, and Cryptography.