A widely followed crypto strategist says that Ethereum (ETH) is likely gearing up for a big upside move as the leading smart contract platform shows “serious strength” in the charts.
Pseudonymous analyst and trader Bluntz tells his 257,000 followers on the social media platform X that ETH is looking strong both in its USD and Bitcoin (ETH/BTC) pairs.
“ETH and even ETH/BTC showing some serious strength today.”
Bluntz is a known practitioner of Elliot Wave Theory, an approach to technical analysis that states corrections often happen in three parts, or “A-B-C” waves. According to his chart, Bluntz is suggesting that Ethereum completed its three-wave correction when it hit $2,800 and is likely beginning a new leg of its bull run.
The trader’s chart also suggests that there is now a bullish divergence between ETH/BTC’s price action and its relative strength index (RSI), a momentum indicator. A bullish divergence signals the possibility of a trend reversal as it indicates that an asset’s momentum is on the up and up while price continues to move down or sideways.
At time of writing, Ethereum is trading at $3,183, down over 3% in the last 24 hours.
Bluntz also has his eye on an under-the-radar, lower market-cap altcoin that he says just flashed a rare bullish signal.
The trader says Helium (HNT), a Solana-based Internet of things-focused blockchain project, has likely bottomed out while showing a bullish divergence with its RSI.
“Very nice bullish divergence on HNT here after sweeping both a major range high and now range low, in fact the first one it’s had since 2022.
There’s some charts out there looking nice and bottomed out.”
At time of writing, HNT is trading at $5.14, up over 13% in the last 24 hours.
Generated Image: Midjourney
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