Peter Brandt, a seasoned commodity trader who’s been dealing since the 1970s, took to Twitter on June 7th to post another classic graphic relating to Ethereum, the second-largest cryptocurrency. He also stated that this is possibly a descending triangle showing a downside pattern.
Classical charting 101
This is a POSSIBLE descending triangle. A downside completion, unless immediately nullified, would not be constructive$ETHUSD pic.twitter.com/33kOZK4tjF
— Peter Brandt (@PeterLBrandt) June 7, 2022
Ethereum chart, a downside pattern of descending triangle
Peter Brandt posted an Ethereum chart with a pattern, which he stated that it could only be a descending triangle. He added that it is a downside pattern that, if not resolved promptly then it would not be productive.
A descending triangle generally indicates that downwards momentum is growing and that the value of the asset is about to break down.
In early March of this year, the seasoned statistician predicted a significant correction in Ethereum, which was traded within the $2,900 range at the time.
The second-largest cryptocurrency, Ethereum has now dropped to $1,700. Ethereum began to fall after Bitcoin when the Federal issued a historic interest rate rise in the opening days of May. It was followed by the crash of the Terra blockchain and its coins LUNA and UST stablecoin.
Ethereum plummeted far below its starting point
Yesterday, Ethereum tried to increase from $1,810 to more than $1,900, and the market saw a massive liquidation of Ethereum short transactions worth around $666 million. The vast bulk of the liquidated deals were executed on the Bitfinex exchange.
However, Ethereum has now sunk considerably lower than where it started and is trading at $1,700.
