A popular crypto analyst says technical indicators are suggesting altcoins are about to go parabolic.
Pseudonymous analyst TechDev tells his 452,400 followers on the social media platform X that several indicators suggest the crypto market is replicating a 2020 pattern that led to a massive bull cycle.
[adinserter block="1"]“The entire crypto market has just begun its first macro bullish expansion in three and a half years.”
The analyst’s two-month chart of the total market capitalization suggests digital assets appear ready for a huge breakout. The trader’s chart uses the Bollinger bands (BB), a price volatility gauge that often sees its upper and lower bands contract when volatility has been low, and therefore likely to increase.
The chart suggests that the indicator has contracted to similar levels that preceded huge moves to the upside in 2020, which continued higher in 2021.
The analyst says other indicators suggesting a market expansion is underway include the Gaussian channel on the two-week Ethereum (ETH) chart signaling the top altcoin is likely entering a bull cycle.
Gaussian channels are momentum indicators that can be used to identify price reversals.
“Bullish Bitcoin consolidation at prior ATH (all-time high). ETH two-week Gaussian channel green. DOGE marking up. Alt market two-month expansion. When have we seen this before?”
The analyst also says that the Bollinger bands look bullish on the two-month OTHERS chart, which tracks the total market cap of crypto excluding the 10-largest digital assets and stablecoins. The analyst has said that the altcoin market is poised to spark steep rallies similar to the ones witnessed in 2016 and 2021.
“Macro can bring clarity. Bitcoin poised to rip. Altcoins poised to rip.”
Follow us on X, Facebook and Telegram
Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
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 assets including cryptocurrencies, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/Zigyrat
