A widely followed crypto trader who accurately predicted the bottom for Bitcoin (BTC) in 2018 believes that one altcoin is on the verge of a massive move to the upside.
Pseudonymous analyst Bluntz tells his 228,700 followers on the social media platform X that liquid-staking service provider Lido DAO (LDO) is ready to soar after a retest.
“Perfect retest on LDO and nice three-wave move from the highs. This one is gonna send so hard when BTC catches a bid again.”
Bluntz utilizes the Elliott Wave theory in his technical analysis. The Elliott Wave theory states that the main trend of the price of an asset moves in a five-wave pattern while the correction happens in a three-wave pattern.
The trader turned bullish on LDO earlier this month.
Lido is trading for $2.44 at time of writing, up 2.5% in the last 24 hours.
The trader also says that he is optimistic about the broader crypto market after decline in the US dollar index (DXY), which keeps track of the USD’s value compared to a basket of foreign currencies. A weaker dollar often suggests strength in risk assets like Bitcoin.
“DXY got slaughtered today. Would say I’m surprised, but I’m not really. [DXY is] going much lower. Don’t underestimate how GOOD this is for crypto.”
Earlier this month, the trader said the DXY appeared to have reached a market top and predicted the DXY would decline to 98 by May 2024, giving a boost to risk assets like Bitcoin. The DXY is at 104.38 at time of writing.
“DXY showing signs of distribution here while equities look like they may have finally found a bottom and crypto is almost certainly risk on again. If DXY has topped like I suspect and starts trading back under the range and below 105, the next six months will be great for risk assets.”
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