A crypto analyst who attracts a lot of attention believes that altcoins are on the verge of experiencing the most significant surge in the bull market. TechDev, a pseudonymous analyst, informs his 460,100 followers on the social media platform X that the Bitcoin dominance (BTC.D) chart is indicating a substantial bearish reversal signal. The BTC.D index measures the proportion of the total crypto market cap that belongs to Bitcoin. A bearish BTC.D chart suggests that altcoins are about to outperform Bitcoin. TechDev explains that BTC.D is indicating a bearish divergence on the five-day chart, implying that Bitcoin is losing momentum against altcoins. He predicts that there will be a significant drop in Bitcoin dominance, which hasn’t been seen in four years. TechDev practices Elliott Wave theory, which suggests that a bullish asset typically experiences a five-wave surge, with waves one, three, and five being upward movements, and waves two and four being corrective periods. According to him, wave three is typically the longest wave of the rally. To support his optimistic view on altcoins, TechDev shares an eight-week chart of the OTHERS index, which monitors the market capitalization of all cryptocurrencies excluding the ten largest digital assets and stablecoins. Based on this chart, OTHERS seems to be testing its exponential moving average (EMA) as support, similar to what occurred in the early stages of the 2017 and 2020 bull markets. TechDev concludes by suggesting that altcoins are far from over and that investors should wait and see what wave three has in store for them.
