Transcription
Ethereum is pumping. It's at a brand new all-time high. Everybody and their grandmother can see that. But there are hidden signs on this chart that we're breaking down in this video that make this much, much crazier than how it looks at first. So, there's a lot we're going to be breaking down here. This ties directly in line with Bitcoin dominance and other amazing opportunities.
Some of you guys may have missed Ethereum. Some of you may feel like you weren't exposed enough to it. There are, I think, going to be many more opportunities to profit off these kind of moves in this market moving forward. We're going to be breaking that down in this video. But before we do, we need to understand where we're at.
And if we go ahead and put a line at the all-time high that we've just set today, we can see tracing this back to 2021's all-time high that we are only marginally higher than the previous all-time high. Maybe just a percentage point higher. So, we haven't done anything that crazy yet. And if we adjust for inflation, Ethereum is not doing well. Ethereum still far, far, far below its previous all-time high compared to where we think it is. And I think that's important because if you truly do feel bullish about Ethereum, then it pretty much makes sense that you also expect Ethereum to set a better all-time high adjusted for inflation. And that probably indicates further upside. So that in itself is is really really cool.
Let's take a look at how we got here and just kind of understand what Ethereum is doing. Now here on the daily chart, Ethereum bottomed out toward the beginning of April and it's pretty much been a non-stop rally up. The largest kind of corrections that we've seen were here 26% and here uh for 15%. We're really not seeing particularly large corrections in this market and it is charging higher.
Now the other key thing that we've seen is that every time Ethereum sets a high and then breaks above that high, it does tend to rally quite well, right? And we can actually probably drop another line right here. Uh, you know, you can see that when you kind of set this high here and you explode above it, we're getting a big breakout to that next high. It's not a small move. It's a 52% move on this occasion. When we pop above this high, it's a 37% move. When we pop above this high, it is a 23% move. So, we've just popped above the previous high right now. And if we are truly doing something with this and we're going to see perhaps a 20% move, 30% move, that easily puts our next speculative target for Ethereum in the high 5,000s. Admittedly, I kind of think we should have seen these price levels back in 2021, but that's totally okay. The fact that it's taken so long to get here, in my opinion, just makes the subsequent explosion even larger. So, super super cool stuff.
Now, Ethereum against Bitcoin continues to tell us that story. Now, if you were watching this YouTube channel throughout the bare market and even throughout the bull market, you're going to remember that I was very, very bearish on this Ethereum BTC chart all the way down until we got to these three levels here on the chart. These are the three levels that I said would be phenomenal buys for Ethereum. At first, I really thought it was this one, but as we approached it, I kind of changed my mind and I said that it would be these two. And this is, of course, pretty much exactly where Ethereum bottomed out. So, huge shout out to those of you that are subscribed to the channel. you wouldn't have missed that super time-sensitive analysis. We've been on point throughout this market cycle. Make sure that you don't miss out on the next updates we're putting out if you haven't already. Check that bell icon and all that good stuff.
Now, this is the really big thing that I wanted to make this video about. This is the reason we're making this video is that Ethereum right here against Bitcoin has this macro zone of resistance at about 0.04 BTC per token, right? So, that means it costs 0.04 BTC to buy one Ethereum token. And if we go ahead and zoom out and kind of understand what this price range tells us, um, you know, all we're doing is we're looking at this kind of gray blue box here, uh, this is clearly a kind of zone that's been important for Ethereum historically. If we kind of take a look back at what's happened at these kind of price levels for Ethereum in the past against Bitcoin, we saw, you know, pretty big kind of reversals taking place at this level, resulting in massive support or some pretty pretty nasty rejections also coming off this range as well. So, as far as a kind of macro range, this one's quite formidable for Ethereum. It was also resistance recently throughout this market cycle as well as Bitcoin was sucking up dominance. This is where Ethereum was starting to encounter some trouble.
Now, this is all super super important because that means we should be finding resistance here and we haven't. We haven't actually found resistance here. now. So, uh, you know, that is a sign that this thing could potentially continue to rally very, very hard until it gets up to that next speculative zone of resistance at about 052 BTC per token, which has also been a very macro important level of resistance. Now, this whole rally for Ethereum against Bitcoin has been characterized by not really finding any resistance. We had our we we we found resistance in each of the zones we were expecting to be clear, right? I mean, we found, you know, pretty clear resistance over here. it resulted in, you know, a moderate to small pullback here for Ethereum against Bitcoin. And then, of course, we had this one right here, uh, which, you know, didn't really even result in a pullback. We just kind of consolidated sideways inside of resistance, which is of course very, very bullish. On this occasion here, right as we enter the range, we got a tiny pullback, but nothing massive at all. And inside of the range, nothing. So, this is an exception so far for Ethereum throughout this rally. Usually, we're seeing better, more clear resistance at these macro levels, but Ethereum against Bitcoin on this occasion did not do that.
Now, this points to two possible outcomes here, which I think are really, really important. The first one is kind of just that look, we haven't topped out yet because, you know, we haven't made full work of this range yet. And I think that's pretty reasonable, right? The way I've defined this range, it tops out at about 043 BTC per token. And typically you do want to give it another couple percentage points up to 3 percentage points higher to prove that you truly are out of the woods. So anywhere kind of below this line, we're still in that same kind of macro resistance zone. We proved that with this right here, right? Ethereum very very clearly got above this range by a little bit if we kind of measure it. And obviously these ranges are not drawn super precisely cuz it's impossible to do that. you know, it it's good enough. And we still managed to get 8% higher than that range and then ended up dipping down, right? So, is it possible that we're doing the same thing right now? Yeah, 100%. I think that's actually really possible. In fact, if anything, I probably think that's more likely right now because I do have to expect some sort of pullback for Ethereum against Bitcoin. But I tell you what, you know, we haven't shown signs of that coming. We've clearly shown signs actually of this rally intensifying, right? It started off kind of slow. we had a bigger kind of pullback Ethereum against Bitcoin here dropped by 17%. You know, it was it was a slower move, right? But then it's clearly sped up. I mean, the next point of continuation for like the next continuation pattern took 18 days here. The first one here to kind of break that high took 70 days. So, literally 2 and 1/2 months. This one only took, you know, you know, 2/3 of a month. Uh, and this one took even less time from the time that we hit resistance to the time that we broke it was just over a week. So, it's clearly intensifying as we're carrying on here, which means that even though I think we should obviously be finding macro resistance at macro resistance, the chart doesn't seem to care about that and the chart is showing signs of that intensifying.
Now, that's also reflected on Bitcoin's dominance. And by the way, what this means is crazy. We're getting through that. Hold hold yourself cuz this is going to be worth it. First of all, let's take a look at the drops that we've seen, right? So the previous massive Bitcoin dominance drop that we saw was 11.5% in relative terms. And now we have surpassed that. We are now seeing a bigger Bitcoin dominance drop than any other drop throughout this entire market cycle so far, which makes it much more likely that this is the alt season. If it is the alt season, we're probably also late stages in the bull market cycle, which probably also means that we might not have too much longer to rally. I definitely don't think we're topping out this year despite that, and I've been very vocal about that. I still think that this can go on until kind of Q1, Q2 of next year minimum, but it is a sign that markets tides are shifting. We're entering a different phase of the market. Is it still, you know, like is it possible at this stage to call for an alt season? Look, with what we're seeing on Bitcoin dominance right now, it's it's getting hard to argue that, you know, you're not seeing a big big drop like this, right? And and I think that's important. Are we are we fully out of the woods? You know what, man? As far as technicals go, it's it's pretty much like told us that we're in an alt season now.
As far as market cycles go and my understanding of how long they can last and what signs we show early on, which we're clearly still early on in this market cycle, if you look at things like the S&P 500, it doesn't make sense that we're seeing an alt season. In fact, from that perspective, it looks more like we might get something. I don't know, maybe it drops much further, but it would still recover, potentially set a new high, but at the very least maybe rise up, you know, do something like this and then continue down. I think that's way more likely overall. Uh, because I still don't think that it's, you know, the right time for that kind of alt season to happen. In fact, what I think is happening is that everybody who's invested in these coins is now getting a [ __ ] ego, catching a little bit of arrogance in their drift. And that kind of thing usually does get humbled in these markets, even inside of bull markets.
But the reason that all of this is so important is just purely because if we are looking at this situation here, ladies and gents, where Bitcoin dominance is dropping this hard and it's clearly like primarily happening because of Ethereum gaining strength against Bitcoin, that is going to pave the way for altcoins to start exploding and we're seeing that happen. If we take a look at Ethereum against Bitcoin here and we Let's go ahead and take a different chart because I got too many drawings on this one. Let's go ahead and look at the uh Coinbase one tells us the same thing. What I want to do is I want to throw on the Salana BTC chart as well. I think that the Salana chart is obviously going to be a very interesting one to look at here because uh you know we've clearly seen you know Ethereum kind of steal the show a little bit. Uh, but we know what that tends to lead to and we understand what this means from a psychological perspective as well. Of course those of you that are subscribed are going to be so familiar with these ideas. But a very quick recap is that when Bitcoin i.e. the safe asset starts looking very very attractive and it stays attractive for a while, maybe even gets a little bit stale and boring. That's where people who've made profits are going to be looking to reinvest those profits into riskier markets. For example, Ethereum, as we understand, Bitcoin is number one, Ethereum is number two, both in terms of size, manipulation, potential, liquidity, volume, and so on. Um, and so, you know, you're going to start seeing that money kind of get invested into second coins like Ethereum. And then when those Ethereum holders make money, that's when you really see a massive massive explosion happening through the shitcoins and altcoins beneath it. And I really think that Salana makes sense as a kind of next logical pick because if we take a look at coin market cap, just go ahead and refresh the page here, make sure we got the most up-to-date information. Uh, you know, we are seeing Bitcoin right here with a market cap of 2.3 trillion, Ethereum sitting at 600 billion, and Salana down here at 113 billion. Now, I did skip Binancecoin and XRP because they're kind of different cases. Binancecoin is almost more of a stable that performs well and XRP moves in its own way. Salana is the next kind of really big coin and you know beneath that of course we're excluding stables. The next kind of speculative coin is going to be 35 bill, right? So Salana is by far bigger than you know a lot of these other coins.
And if we do take a look at what Salana is showing us right now, you know, Salana kind of had this like horizontal level that we could kind of draw like this. We can also, of course, draw it as a box, which I think would be very very applicable. But no matter how you draw it, whether it's with these horizontal levels, whether it's with a kind of more, you know, um diagonal kind of trend line, we are seeing Salana clearly kind of break out and show some signs that this market is waking up. And it's absolutely no surprise whatsoever that really we're getting these breakouts happening after Ethereum's move has kind of matured. When I say matured, that doesn't mean I think it's over. I think Ethereum can get much higher against Bitcoin. But what I am saying for sure is that, you know, Salana was rather muted during this whole time, right? Ethereum kind of had this sideways trading range here and then it really started to do very well. You know, kind of like July you could say is where it really started to kind of take off mid July. But Salana at that time was still hitting resistance levels in you know relatively local ranges. But it's only like very recently over the last few days where Salana has really been able to get that big explosion up and we can't ignore the fact that this is happening against the backdrop of Ethereum BTC rallying really hard right Ethereum BTC is up massively right now in fact I mean if we just look at you know bare market to bull market right in terms of kind of how this has moved right from the previous bare market to this bull market essentially you know Ethereum sort of same levels against Bitcoin. Ethereum bottomed out at 016 BTC per token. This market cycle it was 017 BTC per token. It's the same [ __ ] thing. And if we look at where it ended up going, it was all the way up here at nearly 09 BTC per token. So, you know, if we're bottoming out at the same place, is it conceivable that we top out at the same place? I think so. I definitely think that that's conceivable. But let's say it's not going to happen. Let's say that you top out, you know, a fair bit lower than that. That's still 300% or plus or or a four times gain from entry down at that very very bottom level over there. Like I said, we pinpointed this with a lot of accuracy, with a lot of confidence here on this YouTube channel. If you missed it, you probably just weren't subscribed at the time. But make sure that that doesn't happen as this market cycle continues cuz I know that that can be a little bit bitter. But I promise you, this is not going to be the last or even best move of this market cycle. I think we're yet to see the best of this market cycle for sure and that is very very exciting as an idea for me of course uh because I want to you know I want to be able to take advantage of that and that's where you really start tapping into that compounding power as well which I think is very very important but um you know just from these perspectives Ethereum against Bitcoin has a shitload more to go uh but if it's showing this much aggression as it's kind of breaking resistance levels and if it's dragging Bitcoin dominance below uh you know some of the key levels that it was sat at you know it's now falling conclusively below that 60% range. You know, that is a very very strong indication that other altcoins could be next. And I don't think it's a surprise whatsoever that we're seeing this kind of breakout starting to take shape on Salana. It's a little bit too early to say. But if we are going off this yellow line, which you think is a pretty reasonable level for Salana, then we kind of have already started this breakout, right? Like put it this way, if you're bearish on Salana BTC, this is a very, very bad thing to see for you, right? This is not something that you want to be seeing right now. uh you know and I think that's very telling because of course Ethereum's been leading the market for a while. It makes sense that some of that risk kind of starts getting spread out to other coins at this stage and clearly those other coins are showing as signs of waking up.
Here's Doge against Bitcoin. Still not pulling off that breakout, but look at how much it's trying. I mean, it's had one, two, three fake outs just this year at this resistance level. And we're we're just not able to stay away from this resistance level. We could have ended up trading all the way down here, but we didn't. It's staying tucked right at the top of this range, waiting for that explosion. So, a lot of these coins are waiting to get that explosion there. That doesn't mean they're going to get it. Things can change. Market dynamics can always flip. We are talking about the riskiest asset class possibly ever in history, of course. So, you know, let's let's not get carried away essentially is what I'm saying. But as far as kind of, you know, initial signs that tell us an interesting story, my goodness, we're getting something very, very strong here. So, I think that is very cool.
Now, a lot of people like to ask me to analyze Ethereum against the dollar. And frankly, I don't really want to do that, right? I don't think that it's necessary. I also don't think it's particularly feasible anyway, right? I mean, you know, we've got these all-time high levels and you know, when you break them and you're in blue sky breakout territory, it's very hard to say where you're going to go next or how you're going to go there or how quickly you're going to go there, how high you're going to pump. And because those questions are very difficult to answer, I'm not really in the business of asking those questions. I want to ask questions that I can kind of predict a lot better. And that's where the Bitcoin chart comes back in play. Right? If I'm looking at Ethereum against Bitcoin, I can very clearly see there's resistance up ahead. It's another 20% higher, for example. So, Ethereum can probably rally quite well, right? These are conclusions that I can make quite easily.
In line with that, I should also mention that, you know, we've seen a little bit of a dip for Bitcoin today and yesterday as well. Uh, you know, it can look concerning. I can understand why people think that, especially if we look at this on the daily time frame. Look, we've had a nice big candle right into multiple resistance zones. Uh, and and now we're kind of pulling back, right? So, this definitely does tell a bit of a scary story here. Uh, but I think it's kind of simple-minded because to be honest, if you look at this from, you know, the dominance perspective, Bitcoin is dropping down. Yes, but that money is clearly flowing into other altcoins. Now, we can even see that story told a little bit more clearly if we look at Total 2, which might still be dropping. Let's take a look. No, it's actually going up. Even if it is still dropping, that still represents, you know, a lot more strength in altcoins than Bitcoin. But actually, no, the story is a little bit more clear than that. and where Bitcoin is dropping. That money is clearly moving into everything that's not Bitcoin. And so, yeah, Bitcoin's dropping a little bit, but dropping how you know that money isn't leaving crypto. That money is actually taking more risk than it was taking previously, which is again a very strong sign of optimism for investors. It's a very strong sign of investor confidence. We've been looking at this and tracking these exact data points for weeks here, being able to tell this story with a high degree of accuracy. A lot of other people market drops, they [ __ ] themselves, market goes up, they celebrate. We're not about that. We're just here to make money. And because we've got that much more realistic, grounded approach, we're also able to stay cognizant of these facts a lot easier than gamblers or dens in these markets. Right? Bitcoin dropping a little bit isn't concerning because it just means that that firepower has flown into other riskier markets, which is a sign of this bull. Honestly, it's a sign of this bull market continuing at least until those rate cuts happen. I think the rate cuts have clearly proven themselves to be a bit of a sell the news event and you know we've covered that on the previous live stream so go back and watch that if you missed it but definitely a very very good sign there.
Ethereum against the dollar like I said very very hard to predict at this stage but obviously it's round numbers that we're looking at so that means you know 5k flat 5250 5.5 5.8 8, 68, whatever feels like a significant round number. Uh, you know, these are levels that you could potentially expect to turn into resistance. But honestly, guys, for the most part, I I don't even think these are questions worth asking, right? If you're positioned, then, you know, you're making money, then, you know, you don't really have any questions to ask about it. Maybe you want to increase your exposure. You might have to look for some pullbacks to kind of buy those trades, uh, to to buy those coins at those levels if that's, you know, the kind of thing that you're looking to engage with at this stage in the market. Uh but as far as kind of speculating on how high it could go, dude, it's anybody's guess. It really depends on, you know, the overall kind of health and longevity of this market cycle. And of course, that's going to be dependent a lot more on, you know, indices like the S&P 500, which have been closed because it's a weekend, but this is going to be opening up in about 19 hours from the time of recording. And that's going to give us a really, really good sign of where the S&P 500 could be going on the Monday open. Obviously, it's really definitely poised to keep on going higher. that does continue to kind of pave the way for Bitcoin and by extension for Ethereum and by extension the rest of the altcoin market as well. So honestly super super big deal, very very exciting stuff.
The biggest deal of them all is the fact that Ethereum just has so much strength against its macro resistance right now and as a result that it's managed to drag Bitcoin dominance this low and as a result other altcoins are starting to break out now as well. These are important warning signs, right? This doesn't mean that something is going to manifest. that doesn't mean that we're actually going to be seeing these big pumps across altcoins, but we're showing the right signs right now. And if this continues, then before you know it, we're going to be seeing some pretty crazy breakouts. So, really cool, very, very exciting stuff. Obviously, if you've enjoyed this video, make sure you smash up those likes, subscribe, tick the bell, all that good stuff. You've got phenomenal exchanges linked in the description down below. So, check them out if you're interested. And if you're not from a restricted region, we've got an amazing one-to-one program that lasts 12 weeks. Uh, it is expensive. It's very serious, but we've had only incredible results out of that program. So, if you want to get yourself inside, then you can follow this link on screen right here as well, and a member of the team will give you some information about that. But with that, all ladies and gents, really hope you've enjoyed this one. You know what to do if you haven't. We'll see you all in the next.