An analyst known for making macro crypto calls thinks the altcoin market is poised to spark steep rallies similar to those witnessed in 2016 and 2021.
Analyst pseudonym TechDev tells his 451,900 followers on the X social media platform that he is looking at the OTHERS chart, which tracks the total value of the crypto market, excluding the 10 largest digital assets and stablecoins.
According to the crypto strategist, OTHER seems to be following a “textbook” bullish formation after breaking out of a rounding bottom pattern.
“Alts Are Entering Textbook Marking.”
Looking at the trader’s chart, OTHERS appear to have printed the exact same pattern seen during the 2016 bull market cycle. The TOTAL3 chart, which tracks the total crypto market value, excluding Bitcoin (BTC), Ethereum (ETH) and stablecoins, also generated the same pattern in 2021 before launching a major breakout above.
Based on the chart, TechDev predicts that OTHERS will grow to $1 trillion during the markup phase. At the time of writing, OTHERS is trading at $291.35 billion, suggesting upside potential of more than 243% if it hits TechDev’s target.
The analyst is also looking at other relevant charts to support his bullish stance on altcoins. According to TechDev, both Bitcoin (BTC.D) dominance and Tether (USDT.D) dominance charts are vibration signals.
Bitcoin dominance tracks how much of the crypto market cap belongs to BTC while Tether dominance measures how much of the crypto market cap belongs to USDT. If both charts are bearish, it suggests that traders are shifting their capital to altcoins.
“Bitcoin’s dominance is being broken by a mass distribution. The dominance of tether is decreasing in the phase of accelerating its distribution. Alts have not expanded from this level of macro compression since December 2020. The next narrative is at hand.
TechDev says the story that could spark an altcoin boom is the release of Ethereum exchange-traded funds to the market.
“Determine the next alternative narrative in due course. ETH ETF.”
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