dailyhodl.com
A closely followed crypto analyst says one catalyst could send the altcoin market soaring for months.
The analyst pseudonymously known as Rekt Capital tells his 100,000 YouTube subscribers that if Ethereum (ETH) breaks through a key resistance level “the next few months are going to be life-changing.”
“Breaking out would enable a massive influx of money flow into smaller altcoins. And Ethereum breaking out to new all-time highs would be a major catalyst on a technical side in making all these other altcoins rally quite substantially.”
According to the trader, ETH needs to break through $4,000 to ignite massive altcoin rallies.
“It’s weekly closes and successful retests [at the $4,000 level] that have enabled moves to essentially new all-time highs. So $4,500 would occur once we actually managed a weekly close inside here and retest this [$4,000 level] as support. That would enable a revisit of old all-time highs, and probably upon breaking $4,500, rally into essentially new all-time highs and price discovery.”
Ethereum is trading for $3,595 at time of writing.
He also shares an OTHERS chart, which depicts the total crypto market cap excluding the top ten coins to gauge altcoin market strength, and suggests that alts may surge like they did in 2021.
“Now we’re seeing a weekly close and retest here, and a successful retest here would enable upside from $315 billion to $425 billion…
When we weekly closed and retested this region [in 2021], we saw expansion in altcoin market cap to new all-time highs, essentially…
If we’re able to hold here for a few weeks, that would enable a move into $425 billion.”
Generated Image: Midjourney