An analyst who accurately called the 2022 crypto collapse says that one token that rallied almost 280% last week could foreshadow what’s coming for the altcoin market.
Pseudonymous analyst Capo tells his 100,883 followers on the instant messaging platform Telegram that he’s closely watching the native governance asset of the non-fungible token (NFT) marketplace SuperRare (RARE).
According to Capo, RARE’s massive rise from last week’s low of $0.0918 to a high of $0.3476 may be a preview of what’s in store for altcoins.
“Basically we are seeing a correction after a bullish trend, similar to the one we saw back in April-July 2021 before bullish continuation. Some tokens like RARE have already broken this downtrend, with some interesting pumps. Now… should we expect the same for the rest of the market?
Confirmations are still needed, but based on a thorough analysis using various methods and data sources, and as I’ve been saying for a few weeks, I believe there is a good chance of seeing a market recovery with a bullish rally for altcoins.”
Looking at Capo’s charts, he seems to predict that OTHERS, which tracks the market cap of all crypto assets excluding the top 10 digital assets and stablecoins, will witness bullish continuation if it breaks resistance at around $257 billion.
At time of writing, OTHERS is trading for $188.174 billion.
Turning to Bitcoin (BTC), Capo shares a chart suggesting that the crypto king is primed to rally to a liquidity zone between $75,000 and $80,000.
“BTC high time frame chart.”
At time of writing, Bitcoin is trading for $58,444, down nearly 2% on the day.
Generated Image: Midjourney