3 months ago
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A crypto analyst has pointed out a notable divergence in the performance of Bitcoin (BTC) and Ethereum (ETH). The analyst has noted signs of weakness in Ethereum compared to Bitcoin, predicting that BTC is likely to experience a faster recovery than ETH.
Technical Analysis Highlights BTC’s Strong Recovery
In an X (formerly Twitter) post on August 5, a crypto analyst identified as ‘CrediBULL Crypto’ provided insights into the future outlook for Bitcoin and Ethereum. The analyst emphasized ETH’s relative weakness and noted that Bitcoin had a stronger potential for recovering from recent downtrends.
According to CrediBULL Crypto, Bitcoin has been performing significantly better than Ethereum. He based his analysis on the High Time Frame (HTF), underscoring that Bitcoin has successfully maintained a price above the HTF, whereas Ethereum has dropped below these key levels.
Sharing a price chart of Bitcoin and Ethereum price movements, the analyst believes that Bitcoin is poised to close above the local swing low, suggesting a potential for a subsequent and strong price recovery. On the other hand, CrediBULL Crypto has revealed that Ethereum is likely to close below these levels, indicating a possible weakness in the cryptocurrency’s performance.
Source: X
In a nutshell, CrediBULL Crypto has stated that Bitcoin will potentially recover from its price dip more quickly than Ethereum. He disclosed that the recent decline was likely due to liquidation runs and a hunt into HTF demand. However, this possibility will be confirmed once BTC closes back above the previous swing low.
Moving on, CrediBULL Crypto has revealed that Ethereum’s price drop is much more significant given that the cryptocurrency “wicked through” its HTF demand and took the lows under it. This indicates a breakdown in the market structure for Ethereum, underscoring the potential for Ethereum to face strong resistance around the $3,000 to $3,500 range.
The analyst has described this key range as the “Red Zone,” highlighting that Ethereum could witness a long period of consolidation as it encounters significant resistance on any upside movements.
Future Price Projections For Bitcoin And Ethereum
In his post, CrediBULL Crypto made a bold wager, predicting that Bitcoin will recover quickly from market declines to begin the next impulse up. The analyst has also projected that Ethereum’s upside momentum may get capped around the $3,000 to $3,500 region, leading to a multi-week or multi-month consolidation period.
According to CrediBULL Crypto, as Ethereum struggles with resistance, Bitcoin will likely be climbing to new highs, possibly reaching $100,000. He disclosed that this massive price surge will potentially increase Bitcoin’s dominance in the market, further outperforming Ethereum in the future.
Shedding light on CrediBULL Crypto’s price predictions, a crypto community member has shared concerns over the significantly lower price increase for Ethereum. They disclosed that a $3,000 surge contrasted with their expectations of a higher price level of $7,000 to $10,000 for Ethereum.
Responding to the member, the crypto analyst clarified that his predictions were based on the ETH/BTC ratio falling to 0.03. He projected that after the ETH/BTC ratio falls to this level, Ethereum will potentially begin an upward trend to reach higher price levels.
Featured image from Yahoo Finance, chart from Tradingview.com
