A popular crypto analyst known for calling the 2018 Bitcoin (BTC) bottom believes that Ethereum (ETH) is poised for a breakout.
Pseudonymous trader Smart Contracter shares a chart with his 221,700 Twitter followers that suggests Ethereum could skyrocket past the $1,900 range before long.
“I think there is a strong possibility that the low for the week is in ETH as it hit hourly highs and lows and pulled back after the weekly close with no bullish wick, plus the structure looks like an ABC [wave].”
Smart Contracter is a popular practitioner of Elliott Wave theory, an advanced technical analysis approach that attempts to predict future price action by following the crowd psychology that tends to manifest in waves. According to the theory, a bullish asset tends to resume its uptrend after going through an ABC corrective move.
Ethereum is trading at $1,736 at the time of writing. The second-ranked crypto asset by market capitalization is down 2.9% over the past 24 hours.
smart contractor too think Bitcoin’s recent price rally could mean a couple of different things, although he believes they are all bullish for the top crypto asset.
“BTC rallying in all this chaos and having a monster weekly breakout tells us one of two things, but it’s too early to say which yet.
#1. It tells us that BTC is still a risk to assets and simply moves ahead of stocks, as it always does, with stocks catching up soon.
#2. He tells us that he has finally disassociated himself from business finance and is now a safe haven asset that does what it was originally intended to do.”
Bitcoin is trading at $27,812 at the time of writing and is down 0.19% in the last 24 hours.
Smart Contracter also believes that Ethereum competitor Solana (SOL) could rally against Bitcoin (SOL/BTC) after clearing its diagonal resistance on the hourly chart.
“Nice SOL/BTC breakdown brewing on the back of a beautiful SOL/USD weekly close.”
SOL is worth $22.47 at the time of writing. The 11th-ranked crypto asset by market capitalization is up 1.33% in the past 24 hours.
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