The seasoned trader who nailed Bitcoin’s more than 80% drop during the 2018 bear market is warning Ethereum investors that ETH could see a massive 70% devaluation from current prices.
Peter Brandt tells his 661,800 Twitter followers that leading smart contract platform Ethereum has broken down from a head and shoulders formation and could now be en route to the pattern’s classical charting target.
“The chart suggests a target of $300. Targets are not sacred – sometimes they are hit, sometimes not, sometimes exceeded. But for now, I would not buy ETH with my enemy’s money ETH.”
Earlier this month while Ethereum was trading above $1,700, Brandt noted that Ethereum may be trading in a descending triangle pattern and could drop to his target at $1,268. The veteran trader recently updated his analysis after his initial target was met.
“ETH/USD has met its first downside target. As a swing trader, my practice is to take profits at target levels. I have no desire to catch highs or lows, but am satisfied catching chunks in the middle.”
At time of writing, Ethereum is changing hands for $1,066, up nearly 20% from its 2022 low of $897.
As for Bitcoin, Brandt says that he still believes in the long-term potential of BTC.
“For the record, I’m [a] long-term BTC bull. [I] believe [in the] narrative. From [the] beginning, I’ve thought laser-eyed HODL-forever love affair is lunatic. Any market that’s had four 80% plus drawdowns in 12 years is NOT an investment, but pure speculation. Marry a spouse, not a coin. Crypto is a bad religion.”
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Featured Image: Shutterstock/Chawalit Banpot/monkographic
Source: https://dailyhodl.com/2022/06/20/veteran-trader-who-predicted-bitcoin-btc-2018-collapse-unveils-massive-downside-target-for-ethereum-eth/