Renowned trader Peter Brandt has reiterated his bearish stance on Ethereum (ETH), suggesting that the cryptocurrency’s future looks bleak. Brandt, a swing trader, has expressed his bias towards Ethereum, stating that he believes shorting the digital currency is the best strategy at this time. He has dismissed any suggestion that he might be holding Ethereum for the long term.
Brandt’s comments were accompanied by a price chart showing Ethereum hovering around the resistance point of $2,448.25. Despite the cryptocurrency’s impressive rise from $1,242 in late June 2022 to its current trading price of $2,272, Brandt does not foresee a significant breakout for Ethereum in the future. He has stated that even if Ethereum falls below $2,100 and proves him wrong, it would not be a significant concern for him.
Brandt previously caused a stir when he revealed that he had shorted Ethereum to a price range between $600 and $1,000. Since then, Ethereum has not seen a significant drop in value, partly due to market sentiment around the potential approval of a spot Bitcoin Exchange Traded Fund (ETF) by the United States Securities and Exchange Commission (SEC). Despite Ethereum’s resilience, which is linked to its correlation with Bitcoin, Brandt believes that this will not prevent the cryptocurrency from falling below the $2,100 support zone.
One of Brandt’s criticisms of Ethereum is its poor usability, which he attributes to high fees and slow transaction speeds. He believes that these issues, when compared to alternatives like Solana (SOL), could result in Ethereum not being a listed asset in the next decade. However, the upcoming Dencun Upgrade, which will use Proto-Danksharding to improve Ethereum’s scalability, could be a game-changer for the protocol. This upgrade, scheduled for later this year, will enhance the capabilities of layer-2 scaling solutions like Arbitrum (ARB), Optimism, and Base, potentially helping Ethereum achieve its ultimate goal.
The potential Ethereum ETF product could also help transition the protocol to a more mature asset class, protecting it from significant valuation drops.
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | North America |
| Countries | 🇺🇸 |
| Sentiment | negative |
| Relevance Score | 1 |
| People | Peter Brandt |
| Companies | Base, Solana, Arbitrum, United States Securities and Exchange Commission, Optimism |
| Currencies | Ethereum, Bitcoin, Solana |
| Securities | None |
