TL;DR:
- Peter Brandt identifies a “dead cat” bounce as Bitcoin rises from $80K to $88K–$92K.
- Market liquidity is thin, with $1.2 billion in long positions and no strong dip-buying.
- Bitcoin must break above $92,000 to signal confidence; otherwise, the corrective structure remains, cautioning traders about potential downside risk.
Veteran trader Peter Brandt has drawn attention to Bitcoin’s recent price movements, illustrating a “dead cat” pattern over the cryptocurrency’s drop to the low $80,000s. The chart portrays Bitcoin’s two-week decline from above $120,000 as a full five-wave correction, suggesting that the current rebound between $88,000 and $92,000 is likely a temporary bounce rather than a bullish reset.
Meow??? How high can the cat bounce? pic.twitter.com/oOrvncOLlH
— Peter Brandt (@PeterLBrandt) November 25, 2025
Dead cat or bear trap?
According to Brandt, the $88,000–$92,000 range is critical, as it represents the only zone traders should focus on currently. The bounce appears reactive, responding to prior losses rather than signaling proactive buying. Market liquidity is thin, order books have lost depth, and ETF flows have been inconsistent, creating an environment where short-term rallies may be fleeting.
The setup also shows more than $1.2 billion in long positions, yet positioning remains light and there is no aggressive dip-buying. Bitcoin has not reclaimed key levels that would indicate real demand, reinforcing the notion that the corrective path is intact. Analysts note that until the price decisively breaks above the $92,000 ceiling, downside pressure could persist.
Brandt emphasizes that the dead cat bounce could mislead traders into believing the market is stabilizing. While short-term gains may occur within the narrow range, the broader trend remains corrective. Investors should carefully monitor liquidity and order-book depth, as the lack of strong buying interest may lead to renewed declines once the temporary bounce dissipates.
If Bitcoin manages to close above $92,000, the dead-cat-bounce theory could be invalidated, indicating renewed market confidence. However, failure to breach this level would leave the downside structure in control, highlighting that caution remains essential. Traders and investors alike are watching price action closely, balancing optimism from small recoveries with awareness of potential risk.
The analysis suggests that recent rebounds are limited, and Bitcoin is still navigating a corrective environment. Proper risk management and vigilance are crucial, as the market could quickly reverse if the $92,000 threshold is not surpassed.
