A well-known crypto strategist, who has earned the prestigious “Master Trader” rank on the digital asset exchange Bybit, believes that Bitcoin (BTC) is poised for a new bull market. In a recent video, the analyst, known as Bluntz, shared his perspective with his 288,200 followers on the social media platform X. He pointed out that Bitcoin has been experiencing shallower dips in the lower time frames since reaching its lowest point in August at around $49,000.
Bluntz suggests that Bitcoin is currently forming a series of 1-2 Elliott Wave structures, indicating that it is preparing for a significant upward movement. He explains that these wave twos have been getting progressively shallower, which suggests that Bitcoin is gearing up for a breakout in the form of a powerful wave three.
By analyzing Fibonacci levels, Bluntz highlights the decreasing depth of the wave twos. The first wave two, at $52,000, hit the 0.768 Fibonacci level, while the second wave two, at $59,600, only reached the 0.50 Fibonacci level. The third wave two, at $65,300, is even shallower, hitting only the 0.382 Fibonacci level. According to Bluntz, this trend indicates a strong market.
Bluntz follows the Elliott Wave theory, a technical analysis approach that aims to predict future price movements by observing crowd psychology, which often manifests in waves. In this theory, a bullish asset typically experiences a five-wave surge, with wave two serving as a corrective period and wave three representing the strongest upward movement.
The analyst believes that as long as Bitcoin remains above $65,300, it will likely consolidate below $68,000 before initiating a powerful wave three rally. As of now, Bitcoin is trading at $66,979.
Disclaimer: The opinions expressed in this article are not investment advice. Investors should conduct their own research before engaging in high-risk investments in Bitcoin, cryptocurrencies, or digital assets. Please be aware that all transfers and trades are undertaken at your own risk, and any losses incurred are your responsibility. The Daily Hodl does not endorse the buying or selling of any cryptocurrencies or digital assets, nor is it a financial advisor. Please note that The Daily Hodl may participate in affiliate marketing.
