T3 Trading Group’s Scott Redler claims that Ethereum remains vulnerable
Ethereum (ETH), the second largest cryptocurrency, could face an even steeper correction, according to Scott Redlerstrategic director at T3 Trading Group.
The CNBC contributor claims that the chief altcoin remains “vulnerable” despite suffering substantial losses.
Redler claims Ether entered a bear market in November after its weekly chart issued a sell signal at the $3,700 level, after breaking several moving averages and being rejected at the $2,800 and 2,300 levels. $.
Now, the top altcoin has once again appeared in a perilous position, with bears seemingly determined to push the cryptocurrency below the $1,700 level.
If successful, Ether is likely to plunge to the $1,400 level next, Redler predicts.
On May 12, the second biggest cryptocurrency came awfully close to losing the key support level, dropping to as low as $1,701 due to the Terra contagion.
While Ether managed to partially recover from this crash, it failed to sustain any semblance of bullish momentum as numerous attempts to recover the $2000 level were rejected.
Earlier today, veteran trader Peter Brandt tweeted that Ether was possibly forming a descending triangle, which is a bearish chart pattern. The chartist predicted that the price of the flagship altcoin could slip to $1,268, which is well below the record peak that Ethereum achieved during the previous bullish cycle which peaked at $1,419 in 2018.
Ether is down 63.81% from its all-time high of $4,878, reached seven months ago. In 2018, the cryptocurrency crashed over 94% in less than a year.
