Bitcoin and Ethereum: Trader Updates his Outlook After Recent Gains
A trader who had correctly predicted the recent dip in the value of Bitcoin (BTC) has announced his intention to re-enter the market.
The trader, known in the industry as “Smart Contracter”, is known for his analysis based on the Elliot Wave Theory.
Let’s take a closer look at the trader’s insights and analysis that led to his decision.
Switching to stablecoins
Smart Contracter switched to stablecoins last week in anticipation of a dive in the value of BTC.
that weekly SFP on $DXY is straight up ringing alarm bells to me.
Im stabled up, good luck out there. pic.twitter.com/5WI5pbttkQ
— Bluntz (@Bluntz_Capital) February 3, 2023
The switch was made to preserve the trader’s capital during the expected dip in the value of the flagship cryptocurrency.
Re-entry into the market
The trader has revealed that he is ready to re-enter the market after Bitcoin retraced from its recent high of about $24,200 to the $22,700 range.
He believes that the asset’s current value is low enough to justify re-entry into the market.
Bitcoin target
The trader has set a new target for the value of BTC above $25,000.
leaning towards the W5 on #btc being underway now taking out those 25k highs.
this might be the final push higher on daily before we get a deeper decline into the next few months, make the most of it imo
5% off fees 👇https://t.co/zHX9WYRMOMhttps://t.co/MLmWabzLxh pic.twitter.com/S5rztiN1bF
— Bluntz (@Bluntz_Capital) February 5, 2023
He believes the current market trend is a final push higher on the daily chart before a more profound decline in the next few months.
Elliot wave theory
Smart Contracter uses Elliot Wave Theory for his analysis.
This approach is based on the notion that the psychology of traders often plays out on charts in predictable waves of highs and lows.
The trader believes that this theory provides insights into the future market trend and helps him make informed investment decisions.
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Accumulating Ethereum (ETH)
In addition to re-entering the BTC market, the trader has also started accumulating Ethereum (ETH).
He believes that the largest altcoin may be gearing up for another leg and that ETH/BTC still looks bearish.
Smart Contracter is slowly gaining exposure to ETH as he believes BTC has bottomed out.
interestingly eth has pulled back from the highs in only 3 waves and finding support near the 0.618 so maybe gearing up for another leg, not only that but ethbtc still looks bearish imo which means maybe btc has bottomed here too and outperforms
im slowly gaining exposure again pic.twitter.com/hcSER9111L
— Bluntz (@Bluntz_Capital) February 5, 2023
Conclusion
In conclusion, the trader’s decision to re-enter the market is based on his analysis of the current market trend and the Elliott Wave Theory.
He believes that the current value of BTC is low enough to justify re-entry into the market and has set a new target of above $25,000.
The trader is also slowly gaining exposure to ETH as he believes it may be gearing up for another leg up and that ETH/BTC still looks bearish.
Andrey Kunev
Reporter at CoinsPress
Andrey Kunev is a knowledgeable cryptocurrency content creator passionate about the crypto market. With extensive experience in market analysis and investment reporting, Andrey is a valuable asset to the CoinsPress team. As a frequent contributor, he offers insightful and comprehensive coverage of market trends, price fluctuations, and new advancements in cryptocurrency. Whether you're a seasoned investor or just getting started, Andrey's clear and concise writing offers a comprehensive look at the current state of the crypto market and its prospects. Stay up-to-date with CoinsPress's expert analysis and commentary on all things cryptocurrency.
