A crypto analyst who nailed Bitcoin’s 2018 bottom six months in advance is turning bullish on Ethereum (ETH).
The analyst pseudonymously known as Bluntz tells his 273,300 followers on the social media platform X that the low for Ethereum is potentially in now that ETH tagged its lowest level in six months in August.
According to the trader, Ethereum is now on the verge of reclaiming a range with an upper boundary at around $2,850.
Bluntz further says that Ethereum is exhibiting bullish divergence on the three-day time frame when paired with Bitcoin (BTC). A bullish divergence occurs when the price of an asset records lower highs while a momentum oscillator such as the Relative Strength Index (RSI) witnesses higher lows.
Using Elliot Wave theory, it appears Bluntz is suggesting that Ethereum is forming a five-wave pattern on the four-hour time frame. Elliott Wave theory states that the main trend of an asset moves in a five-wave pattern while a correction occurs in a three-wave pattern.
From the chart, it also appears that Bluntz is suggesting that Ethereum could rally to around $3,400 in the coming days.
Source: Bluntz/X
Ethereum is trading at $2,562 at time of writing while ETH/BTC is changing hands at 0.04256 BTC.
According to the pseudonymous analyst, another reason for turning bullish on Ethereum is the fact that Solana (SOL) is edging lower against ETH.
“Solana/Ethereum about to get smoked as well in my opinion.”
Source: Bluntz/X
SOL/ETH is trading at 0.05727 ETH ($146) at time of writing.
Generated Image: DALLE3
