Widely followed economist Alex Krüger believes investor interest could soon shift from Bitcoin (BTC) to Ethereum (ETH).
The analyst tells his 162,000 followers on the social media platform X that he believes Bitcoin has topped out and Ethereum will start to outperform Bitcoin (ETH/BTC).
He says Tuesday’s false report that the U.S. Securities and Exchange Commission (SEC) had approved a spot market exchange-traded fund (ETF) appears to have indicated how the crypto market would respond upon approval. Approval came on Wednesday.
“Fake ETF news showed BTC upside is clearly capped until we see actual ETF inflows. Time for ETH to take over.”
Bitcoin is trading for $45,783 at time of writing, up slightly in the last 24 hours.
The analyst believes that the ETH/BTC trading pair has reached a market bottom, after bouncing from the key level of 0.0479. He also suggests that approval of a spot market Ethereum ETF could be next, which might act as a catalyst for an ETH rally.
“Most components for an ETH/BTC bottom are here:
-narrative shift: from BTC ETF to ETH ETF
– upcoming events: EigenLayer airdrop
– chart: 50% correction + fakeout of 2022 lows sentiment: extreme pessimism.”
ETH/BTC is trading for 0.054 BTC ($2,514) at time of writing.
The analyst says that longing Bitcoin in the lead-up to the spot market BTC ETF approval turned out to be the winning strategy.
“You will never have another chance to make money as easily as with the Bitcoin ETF trade. All one had to do is go long and ignore the noise.”
He suggests that the dip in the crypto market earlier this week lessened the impact of a possible sell-the-news event for a spot Bitcoin ETF approval.
However, he notes that Bitcoin futures open interest on the Chicago Mercantile Exchange (CME) has reached a high level that could indicate price volatility is still possible.
“Odds of a BTC sell-the-news on ETF approval OR launch is much lower now after the severe Monday leverage flush-out. The only thing still concerning is the high CME open interest.”
Don’t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Check Price Action
Follow us on Twitter, Facebook and Telegram
Surf The Daily Hodl Mix
 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: DALLE3
Credit: Source link
