bt-crow.com
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A cryptanalyst with the nickname Pentoshi believes that the cryptocurrency market is showing the first signs of recovery. In addition, he predicts a rally for two popular altcoins
The Bitcoin dominance chart continues to show a rebound and the analyst believes that this is a positive factor for the cryptocurrency market:
“This is the first signal for the recovery of the market, as weak projects are being cleared”
The ratio of the total capitalization of bitcoin to other crypto assets is precisely the BTC dominance index. The increasing dominance of BTC suggests that either bitcoin is growing faster than altcoins, or other crypto assets are losing capitalization faster than bitcoin.
Pentoshi believes that within a few months, altcoins will fall faster in capitalization than BTC, which indicates a transition from massive speculation to investment in value:
“A significant number of investors do not believe in the dominance of BTC and they have suffered significant losses. Every time the BTC dominance level reaches the “sell and get away” indicator, altcoins collapse 100% of the time. The market is shedding unnecessary projects like a snake shedding its skin to keep growing.”
For Ethereum, the analyst predicts a rally, and then a downtrend will start again:
“ETH is seeing positive movement for the first time in a couple of months. I guess as a kind of consolation, the asset could go up to $2,700 or even $2,900.”
Also, the Terra payment network should show a rebound before the next round of decline:
“I believe it is possible to buy small volumes of LUNA amid fear in the market. The risk/reward ratio is more indicative of a short-term rebound rather than a further decline.”
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