The founders of analytics platform Glassnode say that altcoins are setting up to explode in a blow-off top market crescendo.
Glassnode co-founders Jan Happel and Yann Allemann, who share the Negentropic handle on the social media platform X, say that the Ethereum versus Bitcoin (ETH/BTC) ratio is a bellwether for altcoins.
The analysts say that after a long consolidation phase, ETH/BTC has finally broken higher which suggests that altcoins are about to soar.
“‘The Ratio which drives Altcoins Bull Market’
ETH/BTC ratio is a gauge on the crypto market. Higher ratio – the more risk-on in crypto (altcoins).
When ETH/BTC rallies, altcoins rally.
And we have just broken higher after a long consolidation since late 2021.
Altcoins will soar.
All points to a blow-off top as suggested by Henrik Zeberg.”
Henrik Zeberg, the economist mentioned by the Glassnode founders, previously proposed that Bitcoin and crypto are entering into a blow-off top-style rally with the bull market coming to an explosive and sudden end rather than a longer multi-year cycle.
Happel and Allemann are also looking at the Bitcoin versus S&P 500 (SPX) ratio which they say is a key indicator of bull and bear markets for risk assets like BTC.
They say that a bullish trend is intact for BTC/SPX, suggesting that markets are in a strong risk-on climate which bodes well for digital assets.
“Since our BTC/SPX ratio triggered a BULL MARKET SIGNAL, BTC is up 120% and SPX is up 28%!
BTC/SPX ratio is a strong indicator of BEAR vs. BULL market.
At this moment the ratio is strengthening. It flashed in February 2023 – and hence it has been prudent to be LONG RISK ASSETS ever since.
Nothing suggests that anything has changed in relation to this.
RISK-ON!!”
Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Check Price Action
Surf The Daily Hodl Mix
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: Midjourney
