- The crypto market downtrend has reached exhaustion.
- There are two options for the crypto market’s next phase.
- Cryptocurrencies would surge or enter a range-bound trend soon.
A crypto analyst/YouTube influencer known for his market insights believes the cryptocurrency market downtrend has run its course, predicting an upside reversal is just around the corner.
In his latest podcast, he analyzed the current crypto market structure using the well-known Wall Street Cheat Sheet, suggesting the market is currently in the “Disbelief” phase and poised to move upward.
While the crypto community has recently been focused on identifying ideal entry points and the best prices for buying, this analyst thinks the sentiment is shifting. He sees the current market situation as confirmation of a turnaround, with traders likely moving from searching for buying opportunities to setting targets for an anticipated “crypto pump.”
What to Expect from a Potential “Crypto Pump”?
With bullish momentum potentially building, the analyst anticipates one of two scenarios. In his podcast, he outlined how the crypto market could either rally to previous all-time highs or trade within a defined range.
Considering these possibilities, the analyst believes traders’ mindset will be key in navigating the market’s next phase.
Related: Altcoins Gaining Ground: XRP, SUI, and Ondo Lead the Market Recovery
Will the Market Rally to New Highs or Trade in a Range?
The analyst pointed out that the initial stage of the expected “crypto pump” would need to establish a higher high on a shorter timeframe chart to confirm a classic rally.
However, if the market forms a lower high instead, it would likely indicate a range-bound trend, which would influence how traders should approach profit-taking.
How Should Traders Approach a Range-Bound Crypto Market?
In a range-bound market, active crypto traders might opt to take profits on short-term price swings.
The analyst noted that this strategy could yield significant gains, especially if the pattern persists for an extended period, allowing traders to profit repeatedly within a specific price range while awaiting a definitive breakout.
Are Altcoins About to Enter a “Hope” Stage for a Big Rally?.
Alternatively, the analyst suggested that the altcoin market appears to be in the “Hope” stage, signaling the beginning of a more sustained crypto market rally.
Related: Will Altseason’s Promise Hold? Bitcoin’s Resistance and Altcoins’ Anxious Wait
Since altcoins are currently lagging behind Bitcoin, confirmation of this “Hope” stage could mean they are preparing to rally toward new all-time highs, with traders holding their positions rather than engaging in frequent buying and selling.
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