Widely followed cryptocurrency analyst Cryptopol says he believes a “parabolic” phase is coming to digital asset markets, specifically to altcoins.
The trader participates in the Telegram channel's Bitcoin (BTC) chart covered by CRYPTOCAP, which measures the value of all assets in the cryptocurrency ecosystem except BTC.
Cryptobull notes that in late 2020, Bitcoin reached all-time highs slightly before altcoins started going parabolic.
According to the analyst, a similar pattern could be in play today, with altcoins potentially poised to explode after Bitcoin recently reached all-time highs (ATHs).
“Remember that. We're really at this point.”
A trader is observing a similar pattern with Ethereum (ETH) and Bitcoin.
“ETH, in light blue, is not even close to its past ATH, just as it is there.”
Looking at Ethereum in the Bitcoin (ETH/BTC) pair, which is often seen as an indicator of altcoin strength, CryptoBull says Ethereum/BTC has bottomed after bouncing off a strong support level at around 0.05.
Bitcoin dominance, which measures Bitcoin's market capitalization relative to all other crypto assets, also indicates the strength of altcoins, the analyst says.
“ETHBTC bottom has been confirmed.
BTC D top confirmed. Looks very bearish here.”
At the time of writing, Bitcoin is trading at $69,172, down 4% over the past 24 hours.
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