Wrapping up 2020, needless to say this year has been a rough one for most. The crypto markets on the other hand are flourishing. We have seen BTC reach and surpass all time high almost touching 30K. But what about the rest of the market?
The market works in cycles.
micro caps & ICO’s
And they all are like gears of a machine. They all work together and need each other for the machine to work at all. First let’s paint a picture with the dominance charts.
Bitcoin broke out of this descending broadening wedge (red lines) to hit resistance and fall a bit. It could push past the resistance at some point but for now let’s just concentrate on the resistance. This brought BTC up to and past its ATH. Touching 28,000.
Now, lets look at the ETH Dominance Chart:
This chart is telling. ETH dominance broke out of a descending wedge, which as per classical TA should have ETH Dominance rise back up to around the top of the wedge. This should rocket the price of ETH well past the previous ATH.
Not only that, but it should rocket ALTs up as well.
Now for a look at the price chart:
ETH chart on the daily chart. We have a huge W pattern with a double bottom, the greenish resistance line has just been broken. The blue line was acting as support since ETH was released to trade. It was broken and now that line should act as resistance, and ETH is about to hit it. Mind you this resistance should be easily overcome because of the W pattern. This pattern and the sheer size of it is showing that there is huge buy pressure coming up. We may get a rejection or 2 but we WILL get over this equilibrium.
Let’s take a closer look to see a bit deeper:
ETH broke bullish out of the bearish rising wedge, this alone should rocket it up, but also, look at the old resistance turned support, it never even got low enough to retest. This suggests heavy buying pressure.
After ETH hits its old ATH (and for some ALTS this will happen before) ALTs are going to start restoring, some will likely pass their previous ATH’s. Believe it or not. There will be HEAVY buying pressure coming into these ALTs and with the weight that BTC and ETH will be carrying in USD, these ALTs will go thermo nuclear. Some will go super nova. Many of these ALTs are already showing signs of this:
Icon (ICX) for example. Is in a rising wedge but with this W bottoming pattern will likely break bullish out of the rising wedge (like ETH did) which will trigger the start of a parabolic move upwards.
There are many examples of this and we will be posting some coins to watch.
2021-2022 is looking to be the years of life changing wealth that will dwarf 2017-2018
This post was written by BlockAdvisor