A top crypto analyst is analyzing the current state of Ethereum (ETH) and XRP, the second and third-largest cryptocurrencies by market cap.
Peter Brandt, who became an icon in the industry after calling the collapse of Bitcoin (BTC) at the height of the last bull cycle, says traders should watch out for a bearish head-and-shoulders pattern that may be forming for XRP.
Head-and-shoulders patterns are rare, and analysts keep an eye out for the formations due to their potential to signal major trend reversals. They consist of a right peak, a left peak and a larger spike in the middle. They are confirmed when the price begins to ripple below the line of support.
If the pattern plays out, Brandt says XRP may be targeting 20 cents.
“It will be interesting to see if this H&S top plays out. If so, the target would be .2071. This Tweet poses a possibility. This is not a prediction.”
Meanwhile, Brandt says he’s feeling far more bullish on Ethereum at the moment. Brandt says ETH appears to be “holding very well” amid the latest crypto market dip.
On a recent episode of Brandt’s trading series, the analyst said he believes the leading cryptocurrency remains in the early stages of a parabolic bull run that could take BTC to $100,000 or higher.