Legendary Trader Warns for That Giant Altcoin: It May Dive to the Bottoms!

Legendary trader and analyst Peter Brandt detected a new ‘head and shoulders’ formation in Ethereum’s technical photograph. If this pattern proves correct, the altcoin price is likely to experience a major reversal. Ethereum needs significant shocks to cushion this potential fallout.

More declines in Ethereum’s technical picture?

Ethereum is currently not in a good position compared to on-chain measurements. At the time of writing, the altcoin is down 6.3% to $3,450 amid a broader market slide. Thus, it further increased its losses from last week and reached 9.83%. However, Ethereum has maintained its relative brightness for the month, rising 17.72% in the past month alone.

Peter Brandt stated in a chart he shared that the monthly chart shows a controversial head and shoulders upper formation. For context, the head and shoulders pattern is an indicator that describes the transition from a bullish pattern to a bear pattern. This technical board comes with three peaks, the middle of which is longer than the others. “This is a controversial head-and-shoulders climax,” Brandt said, accompanied by the graphic. “I don’t short cryptos,” he said.

Peter Brandt, who detected this trend, suggests that Ethereum, which is currently in a bearish trend, may fall much lower in the near term. According to CoinMarketCap data, the lowest level to which ETH fell last month was $ 2,863.54. If the trend identified by Peter Brandt reverses, the $3,000 and $2,800 price marks will constitute the main support areas to watch.

Ethereum has more pressing concerns too!

This is a worrying situation. However, Ethereum has more pressing concerns at the moment. cryptokoin.com As you follow from, the US SEC recently gave the green light to spot Ethereum ETFs. However, the trade of the works has not started yet. With confirmation, the coast is already clear. However, concerns about liquidity grabs continue to be seen on the horizon. The question is whether Bitcoin ETFs will actually get a net inflow in the billions while Ethereum gets a share of it.

What’s next for the leading altcoin?

The decline experienced by Ethereum last week is a micro factor that proves that there is a period of change in the crypto’s history. Already, there are indications that at least one spot Ethereum ETF issuer may receive feedback on its S-1 filings this week. Negotiations behind the scenes remain unclear. However, market analysts are optimistic about these S-1 approvals moving forward.

If bullish predictions come true, it is possible that Ethereum will see a major rebound in price against Brandt’s expectations. Meanwhile, it should be noted that Brandt has always been skeptical of Ether. However, in his last article on X, he said that he did not open a short position for the altcoin. This probably makes Ethereum cautious in case it makes an unexpected turn.