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Like most digital assets, ethereum witnessed a correction this week losing over 5% in the last 24 hours while trading just above $2,500. While increased on-chain activity could eventually cause bulls to bet on Ether's rebound, some experts differ with this outlook.
Veteran cryptocurrency analyst Peter Brandt predicts a further drop in Ether to the point of a loss of more than 60% of its current price, with no signs of change.
Currently, Ether is trading at its 42-month low. While bitcoin retested the $70,000 mark earlier this week, Ether maintains sluggish price action and is too far from the experts' target of $4,000.
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Ether's strong bearish movement
ethereum is trading at its 42-month low against the world's top digital asset, suggesting bearish momentum. Moving away from the price chart, ethereum is in a downward spiral and a painful market correction for holders and investors.
According to Brandt, ethereum's bearish sentiment will continue with no reassuring signs of reversal.
<blockquote class="twitter-tweet”>
It is interesting to note that there was no buy signal in twitter.com/search?q=%24ETH&src=ctag&ref_src=twsrc%5Etfw” rel=”nofollow”>$eth
In fact, the chart remains bearish with the target not reached at 1551. pic.twitter.com/sjkXyTQXU2
—Peter Brandt (@PeterLBrandt) twitter.com/PeterLBrandt/status/1852005431213797463?ref_src=twsrc%5Etfw” rel=”nofollow”>October 31, 2024
In a twitter/x post, Brandt shared a chart that says there is nothing but a signal for Ether. He added that ethereum's chart is bearish, and the bulls are making it difficult to reach the $1,551 target.
The 1-day chart highlights the asset's continued bearish momentum that began last August, characterized by a descending channel. The ethereum bearish flag is terrible news for traders and holders as it suggests a continued bearish trend.
Analyst Sees Bearish Metrics for ethereum
Aside from the bearish signs on the chart, Brandt also noted some discouraging metrics for ethereum. For example, Ether has fallen more than 5% in the last 24 hours, recording a steeper drop than Solana, with -4.91%, and bitcoin, with -3.87%.
Furthermore, Brandt noted that the eth/btc trading ratio fell to 0.03613, a 42-month low, as btc continues to lead the broader crypto market. Although ethereum is currently priced at $2,507, Brandt believes the asset will fall further to $1,551, reflecting a potential 62% decline from its current value.
$1,551 as ethereum's unmet target
Brandt considers $1,551 to be the asset's unmet target and a key milestone. In his analysis, this level serves as a point of capitulation for the possessors. The recent drops in price have affected the confidence of investors and holders, with ethereum struggling to hold the $2,400 support.
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As the second largest cryptocurrency, ethereum has shown initial signs of rebound. Many observers have predicted a market rally, pointing to a long-term price of $6,000. Short-term estimates place the price of ethereum at $2,750.
However, Brandt offers a more bearish outlook for ethereum, saying the asset will go downhill unless a new set of technical indicators emerge.
Featured image of Tokpie, TradingView chart
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