Tag Archives: strategist

Proof is in the charts, says technical strategist: The high for stocks awaits. – MarketWatch

  1. Proof is in the charts, says technical strategist: The high for stocks awaits. MarketWatch
  2. Bonds have proven to been a very bad hedge against inflation, says Wharton’s Jeremy Siegel CNBC Television
  3. Treasury Bonds Crashed Because They’re a Bad Inflation Hedge: Jeremy Siegel Markets Insider
  4. ‘Bond math’ shows traders bold enough to bet on Treasurys could reap dazzling returns with little risk MarketWatch
  5. Jeremy Siegel says Treasurys crashed because everyone forgot they’re a bad inflation hedge while stocks ‘do be Business Insider India
  6. View Full Coverage on Google News

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Investment strategist Tom Lee sees Israel attack leading to ‘risk off’ market environment, where yields retreat and stocks rise – MarketWatch

  1. Investment strategist Tom Lee sees Israel attack leading to ‘risk off’ market environment, where yields retreat and stocks rise MarketWatch
  2. Sue Gordon on Israel attack: There will be ripple effects for years that we just can’t predict yet CNBC Television
  3. Business community shocked and outraged by attack on Israel: ‘Terrorism loves a leadership vacuum and we have created one’ Yahoo Finance
  4. How I’m approaching the market in the wake of the attack on Israel CNBC
  5. Wall Street’s Narrative Gets Lost in Horror Over Attack on Israel Bloomberg
  6. View Full Coverage on Google News

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Wall Street’s top strategist admits he ‘was wrong’ about a plunge in U.S. stocks as the S&P 500 is close to erasing 2022’s decline – Fortune

  1. Wall Street’s top strategist admits he ‘was wrong’ about a plunge in U.S. stocks as the S&P 500 is close to erasing 2022’s decline Fortune
  2. ‘We Were Wrong’: Morgan Stanley’s Wilson Offers Stocks Mea Culpa Bloomberg
  3. Morgan Stanley: May be short-term pain but long-term opportunity in emerging markets CNBC Television
  4. Morgan Stanley’s Mike Wilson admits ‘we were wrong’ about 2023 stock-market rally, but refuses to throw in the towel MarketWatch
  5. “We were wrong” to write off stocks’ AI-fueled rally, Morgan Stanley says Markets Insider
  6. View Full Coverage on Google News

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Top Crypto Strategist Predicts Major Trend Shift for Bitcoin, Says BTC History Has Been Made – The Daily Hodl

  1. Top Crypto Strategist Predicts Major Trend Shift for Bitcoin, Says BTC History Has Been Made The Daily Hodl
  2. Bitcoin, Ether drop; US equities rise as inflation cools down Yahoo Finance
  3. Bitcoin Price Dips Again As The Bulls Struggle To Push It To $30K NewsBTC
  4. Bitcoin Officially Enters a Macro Uptrend Ahead of the “Halving Event” Next Year, but the US Government’s 41,500 BTC Stash Remains a Major Threat Wccftech
  5. Crypto Analyst Says Bitcoin Bullish Accumulation Coming to an End, Unveils April Forecast for BTC The Daily Hodl
  6. View Full Coverage on Google News

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Strategist Who Nailed 2022 Bitcoin Downturn Issues Fresh Warning to Crypto Traders

An analyst who correctly called Bitcoin’s collapse this year is warning BTC holders, saying that a capitulation event for the king crypto is in sight.

The pseudonymous analyst known in the industry as Capo tells his 692,200 Twitter followers that Bitcoin continues to flash signs of weakness.

While Bitcoin bulls have managed to ignite a rally from the current bear market low of around $15,700, Capo says that the recent bounce is notably smaller compared to BTC’s previous surges since June.

“Every bounce is smaller. Lower lows and lower highs. Support becoming resistance. $12,000 is like a magnet.” 

Source: Capo/Twitter

At time of writing, Bitcoin is changing hands for $16,840. A move to Capo’s $12,000 target indicates an over 28% decline for the king crypto.

Capo also says that traders are likely not prepared for the drastic move down.

“Just read the comments here and you will get a second confirmation (first one is the analysis and indicators) that most people are trapped above $17,000 or higher and couldn’t take another drop. Like I said before, most people are not prepared for what is coming and it shows.” 

He adds that the current trading environment in crypto and the stock market appears to be creating a “perfect scenario for a proper capitulation.”

“Stock market bleeding, altcoins breaking key supports, indicators pointing down, bulls getting euphoric and cocky for tiny pumps.” 

Looking at the equities market, Capo says the S&P 500 (SPX) remains in a downtrend after respecting its diagonal resistance.

“Clear bearish retest. Downtrend intact.” 

Source: Capo/Twitter

Traders keep an eye on the performance of the SPX as a weak index suggests that investors remain wary of risk assets like stocks and crypto.

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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.

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Bond yields to climb ‘for the wrong reasons’ next year, strategist says

LONDON — Government bond yields are likely to rise in 2023 “for the wrong reasons,” according to Peter Toogood, chief investment officer at Embark Group, as central banks step up efforts to reduce their balance sheets.

Central banks around the world have shifted over the past year from quantitative easing — which sees them buy bonds to drive up prices and keep yields low, in theory reducing borrowing costs and supporting spending in the economy — to quantitative tightening, including the sale of assets to have the opposite effect and, most importantly, rein in inflation. Bond yields move inversely to prices.

Much of the movement in both stock and bond markets over recent months has centered around investors’ hopes, or lack thereof, for a so-called “pivot” from the U.S. Federal Reserve and other central banks away from aggressive monetary policy tightening and interest rate hikes.

Markets have enjoyed brief rallies over the past few weeks on data indicating that inflation may have peaked across many major economies.

“The inflation data is great, my main concern next year remains the same. I still think bond yields will shift higher for the wrong reasons I still think September this year was a nice warning about what can come if governments carry on spending,” Toogood told CNBC’s “Squawk Box Europe” on Thursday.

September saw U.S. Treasury yields spike, with the 10-year yield at one point crossing 4% as investors attempted to predict the Fed’s next moves. Meanwhile, U.K. government bond yields jumped so aggressively that the Bank of England was forced to intervene to ensure the country’s financial stability and prevent a widespread collapse of British final salary pension funds.

Toogood suggested that the transition from quantitative easing to quantitative tightening (or QE to QT) in 2023 will push bond yields higher because governments will be issuing debt that central banks are no longer buying.

He said the ECB had bought “every single European sovereign bond for the last six years” and, “suddenly next year … they’re not doing that anymore.”

John Zich | Bloomberg | Getty Images

The European Central Bank has vowed to begin offloading its 5 trillion euros ($5.3 trillion) of bond holdings from March next year. The Bank of England, meanwhile, has upped the pace of its asset sales and said it will sell £9.75 billion of gilts in the first quarter of 2023.

But governments will continue issuing sovereign bonds. “All of this is going to be shifted into a market where the central banks are notionally not buying it anymore,” he added.

Toogood said this change in issuance dynamics will be just as important to investors as a Fed “pivot” next year.

“You notice bond yields, are they collapsing when the market falls 2-3%? No, they are not, so something is interesting in the bond market and the equity market and they are correlating, and I think that was the theme of this year and I think we have to be wary of it next year.”

He added that the persistence of higher borrowing costs will continue to correlate with the equity market by punishing “non-profitable growth stocks,” and driving rotations toward value sectors of the market.

Some strategists have suggested that with financial conditions reaching peak tightness, the amount of liquidity in financial markets should improve next year, which could benefit bonds.

However, Toogood suggested that most investors and institutions operating in the sovereign bond market have already made their move and re-entered, leaving little upside for prices next year.

He said that after holding 40 meetings with bond managers last month: “Everyone joined the party in September, October.”

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‘Crime strategist’ and urban police chief Robert Tracy to become top cop in St. Louis

ST. LOUIS — Mayor Tishaura O. Jones has selected an urban police chief and former Chicago crime strategist as St. Louis’ next top cop, the first appointed from outside the department.

Robert Tracy, the chief in Wilmington, Delaware, earned national recognition for reducing gun violence there, but was also criticized by city council members for racial tensions and a lack of diversity in the department.

He is set to start here Jan. 9, and inherits a department with a large number of officer vacancies, in a city where the homicide rate is among the highest in the country.

Jones called him detail-oriented, organized, data-driven and dedicated to building community trust.







St. Louis Mayor Tishaura O. Jones and Public Safety Director Dan Isom laugh as newly named St. Louis police Chief Robert Tracy mentions his family members who were sitting off to the side, as Tracy is announced as the next St. Louis police chief on Wednesday, Dec. 14, 2022 at City Hall. Jones said Tracy, who was the police chief in Wilmington, Del., is St. Louis’ first police chief who comes from outside the department ranks.




“Chief Tracy has a proven track record of reducing violent crime,” she said at a news conference Wednesday. “He’s done so in multiple cities and I believe he can do it here.”

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“I know Chief Tracy will bring the lessons he’s learned from his service in Wilmington to our city,” she continued.

Tracy will make $275,000 a year — $175,000 from the city and $100,000 a year from the St. Louis Police Foundation. The Foundation said on Wednesday “it did not want compensation to be a barrier in attracting the best qualified candidates.”

Tracy, 58, was born in the Bronx, is married and has five children. He has worked in law enforcement for almost 40 years, including a stint as Chicago’s crime control strategist. He became chief in Wilmington in 2017, amid a surge in gun violence. Two years later, he was recognized at former President Donald Trump’s State of the Union address, according to news outlets, for a drop in shootings there: 60% fewer people were shot in 2018 compared with the previous year, which hit a historic high of 194 shooting victims.

“He came here completely unknown, from Chicago,” Wilmington Mayor Mike Purzycki told the Post-Dispatch on Tuesday. “He changed the department. He changed the culture entirely. He’s been a great chief. You can take the number of detractors he has and put it in a thimble, and he’s got an enormous number of supporters because he worked really hard, and he’s reduced crime dramatically.”

Tracy said Chicago, too, experienced a big drop in homicides over his five years there, and the lowest overall crime rate since 1972.







St. Louis Mayor Tishaura O. Jones and Public Safety Director Dan Isom introduce Robert Tracy as the first St. Louis police chief named from outside the department ranks on Wednesday, Dec. 14, 2022, at City Hall.




Tracy’s tenure in Wilmington — a city of 71,000 residents, more than half Black, and 300 officers, 35% non-white — faced challenges: Delaware’s NAACP branch called for Tracy’s resignation after an officer was recorded slamming a suspect’s head into a plexiglass wall during an arrest. And in January of this year, the city council introduced a “no confidence” resolution in his leadership.

Council President Ernest “Trippi” Congo sponsored the resolution, citing a lack of diversity in the police force and saying Tracy’s explanation that there were not enough minority applicants was insufficient.

Councilwoman Shané Darby said Tracy did not do enough to improve racial tensions among staff, to address the department’s relationship with the city’s minority communities or to provide detailed information about officer-involved shootings.

The council passed the resolution, 6-4.

Councilwoman Zanthia Oliver told the Post-Dispatch that Tracy “had to take the hit” because he was the head of the department. She said the concerns were not about Tracy personally but more about morale and tension in the department. She described the struggles as persistent institutional issues plaguing other police departments, such as recruitment of diverse candidates.

And Tracy defended himself on Wednesday, saying he listened to the criticism, addressed it, and it hasn’t been an issue since. “We actually sat down and talked about these things to make sure that we were doing the things that our community expected,” he said.

The search

Former police Chief John Hayden announced his retirement in early September 2021. He was set to retire Feb. 23 but agreed to stay on longer when conflict between the city’s personnel department and the mayor’s office delayed the national search for his replacement.

Hayden made $153,000 as police chief in 2021, according to the St. Louis Post-Dispatch public pay database.

Hayden retired in mid-June and Lt. Col. Michael Sack took over as interim police chief.

The conflict began in the city’s first search last year when the personnel department was tasked with narrowing the pool of candidates to six finalists. Jones’ public safety director, Dan Isom, was then supposed to pick from those six.

In November, former personnel director Richard Frank sent rejection letters to most of about 30 applicants for the job and gave a written test to Sack and Lt. Col. Lawrence O’Toole. Both are white men with long careers in the department.

In January, Jones told the Post-Dispatch she was dissatisfied with having just two internal finalists for the job and scratched the city’s first search.

This summer, the city hired executive search firm The Boulware Group to help with the second national search for a chief. The Regional Business Council agreed to pay Boulware up to $60,000, the city said.

The Center for Policing Equity, a police organization dedicated to police reform, was also an unpaid partner in the search.

Tracy was one of four finalists for the job. The other candidates were: Larry Boone, a former police chief in Norfolk, Virginia; Melron Kelly, a deputy chief from Columbia, South Carolina; and Sack.







Finalists announced Monday, Dec. 5, 2022 for the job of St. Louis police chief include, from left: Chief Larry Boone, Norfolk, VA; Deputy Chief Melron Kelly, Columbia, SC; Interim Police Commissioner Michael Sack, St. Louis, MO; and Chief Robert Tracy, Wilmington, DE.


But South Carolina news outlets reported over the weekend that Kelly talked with his family, “realized that there is much work still to be done in Columbia,” and pulled himself out of the race.

Then, Tuesday, Sack told the police department here in an agency-wide email that he had not been selected.

Sack said in the email that the department has been “going through a lot of growing pains” and encouraged employees to continue to adapt to an “ever-changing environment.”

“Together we will continue to work hard to make a difference in our community,” Sack concluded.

Boone did not return multiple phone calls seeking comment.

Focus on trust

Tracy’s remarks Wednesday were focused on crime reduction and building community trust. He said he would take the next few weeks to get to know everyone who wants to be a part of the solution and familiarize himself with members of the department.

Tracy said he worked in Chicago and Wilmington to build trust between the community and the police department, as well as between police officers and their department.

“Firstly, you have to be able to educate people on what you’re looking to do,” he said. “You’ve got to implement it properly. You’ve got to execute it. And then you have to relentlessly follow up. And there has to be respect within an organization up and down the line. When that happens, that expands to external success, because that’ll go out into the community.”

The police chief said his success in Delaware was evident in the letters of support St. Louis officials received from faith leaders and other community members in Wilmington.

“I was humbled — very, very humbled,” Tracy said. “I knew I created a good relationship with the community and the communities of color, but it was overwhelming to get those letters in support of me being a candidate.”

Tracy said he’ll start meeting with St. Louis stakeholders this month to better understand the challenges the city faces while also helping Wilmington officials prepare for his exit.

“This is the right decision for St. Louis,” Isom said of Tracy on Wednesday. “As the former chief of police, I know the qualities of a strong, strategic and committed servant leader is the right fit for our community. Chief Tracy has experienced reducing violent crime while building community trust across neighborhoods, racial lines and ZIP codes.”

Wilmington, Delaware police chief Robert Tracy on Tuesday, Dec. 6, 2022, discusses how he would reduce crime in the city of St. Louis. A chief is expected to be selected by Dec. 31.


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He nailed three big S&P 500 moves this year. Here’s where this strategist sees stocks headed next, with beaten down names to buy.

A Wall Street hat trick may not be on the cards, with stocks in the red for Wednesday.

A two-day rally was never a guaranteed exit out of the bear woods anyway, as some say signs of a durable bottom are still missing.

Enter our call of the day, from the chief market technician at TheoTrade, Jeffrey Bierman, who has made a string of prescient calls on what has been a roller coaster year for the index thus far. He’s also a professor of finance at Loyola University Chicago and DePaul University.

Bierman, who uses quant and fundamental analysis to determine market direction, sees the S&P 500
SPX,
-1.62%
finishing the year between 4,000 and 4,200, maybe around 4,135. “Fourth-quarter seasonality favors bulls following a weak third quarter.  Not to mention most stocks are priced for no growth,” he told MarketWatch in a Monday interview.

In December 2021, he forecast the S&P 500 might see a 20% decline within six months, toward 3,900 — it hit 3,930 in early May. In June, he forecast a rally and recovery to 4,300 — the index hit 4,315 by mid-August.

Speaking to MarketWatch on Aug. 25, Bierman saw a retest of around 3,600 for the index, citing an often rough September for stocks. It closed out last month at a new 2022 low of 3,585.

“I think we’re going to end up for the quarter. [The market is] deeply oversold and some stocks are completely mispriced in terms of their valuation metrics,” said Bierman, who is looking squarely at retail and technology sectors.

“The valuations on half the chip stocks are trading below a multiple of seven. I’ve never seen that ever…but what that means is when the semiconductor sector comes back, the multiple expansion is gonna be like a volcanic eruption to the upside,” he said of the sector known for its boom/bust cycles.

For example, he owns Intel
INTC,
-2.53%,
which hit a five-year low on Friday. Eventually, the company that has invested $20 billion in a new U.S. plant will come roaring back alongside rivals like Advanced Micro
AMD,
-4.65%.
“People will look back on this and go ‘Oh, my God, I can’t believe Intel was at five times earnings,’ which is insanity for this stock.”

For the S&P 500 as a whole next twelve months price/earnings is currently 16.13 times, so Intel’s would be less than half of the broader index, according to FactSet

As for retail, he’s been looking at Urban Outfitters
URBN,
-1.06%,
Macy’s
M,
-1.94%
and Nordstrom
JWN,
-0.67%,
all places where millennials don’t shop, but the middle class does, with the all-important holiday shopping period dead ahead.

“There are 100,000 people being hired to work part time at these companies, and their margins are not coming down at all,” with no markdowns and decent sales, he said, noting those companies are being priced at a multiple of 5 times forward earnings.

“It means that you don’t think that Macy’s can put together for the Christmas quarter a comparative quarter, year over year of greater than 5%? If you don’t then don’t buy it, but I do,” said Bierman. “That’s why I’m willing to stick my neck out and buy these things. I bought Abercrombie & Fitch
ANF,
-3.78%
at 10 times earnings…I’ve never seen it that low.”

For those who aren’t comfortable picking stocks, he says they can still get exposure through exchange-traded funds, such as SPDR S&P Retail
XRT,
-2.58%
or the Technology Select Sector SPDR ETF
XLK,
-1.70%.

Bierman adds that investors need to be careful not to be overly concentrated in the top stocks, given “10 stocks accounted for 45% of the Nasdaq and the fact that 25% of the S&P almost accounted for about 50% of the S&P movement.”

“Everbody’s concentrated in 10 stocks that can still fall another 30% or 40%, like Apple and Microsoft. The idea of concentration risk is that everybody owns Apple, everybody owns Amazon,” he said.

And that could force the hand of passive and active managers heavily invested in those big names, driving a 10% drop for markets that “washes away all other stocks.”

The markets

Stocks
DJIA,
-1.21%

SPX,
-1.62%

COMP,
-2.19%
are in the red, and bond yields
TMUBMUSD10Y,
3.783%

TMUBMUSD02Y,
4.199%
are up, along with the dollar
DXYN,
.
Silver
SI00,
-5.00%
is retracing some of this week’s big gains, and bitcoin
BTCUSD,
-2.62%
is also off, trading at just over $20,000. Hong Kong stocks
HSI,
+5.90%
surged 6% in a catch-up move following a holiday. New Zealand’s central bank hiked rates a half point, the fifth increase in a row.

The buzz

Oil prices
CL.1,
-0.02%

BRN00,
+0.28%
are flat as OPEC+ reportedly agreed to cut oil production by 2 million barrels a day. Some say don’t be too impressed by any output reduction.

Amazon
AMZN,
-2.34%
will reportedly freeze corporate hires in its retail business for the remainder of 2022.

Mortgage applications fell to the lowest pace in 25 years in the latest week.

The ADP private-sector payrolls report showed 208,000 jobs added in September. The trade deficit narrowed, which should be good news for third-quarter GDP. The Institute for Supply Management’s services index is due at 10 a.m. Atlanta Fed President Raphael Bostic will also speak.

Expect the spotlight to stay on Twitter
TWTR,
-2.53%
after Tesla
TSLA,
-5.16%
CEO Elon Musk committed to the $44 billion deal. But will it feel like a win once he owns it?

Plus: Elon Musk’s legal battle with Twitter may be over, but his war with the SEC continues

EU countries agreed to impose new sanctions on Russia after the illegal annexation of four Ukraine regions. Those moves will include an expected price cap on Russian oil.

South Korea’s missile fired in response to North Korea’s weapon launch over Japan, crashed and burned.

Best of the web

Russians fleeing Putin’s mobilization are finding haven in poor, remote countries.

Consumers are throwing away perfectly good food because of ‘best before’ labels.

The CEO of an election software company has been arrested on accusations of ID theft.

Top tickers

These were the top-searched tickers on MarketWatch as of 6 a.m. Eastern:

Ticker Security name
TSLA,
-5.16%
Tesla
GME,
-7.59%
GameStop
AMC,
-9.56%
AMC Entertainment
TWTR,
-2.53%
Twitter
NIO,
-5.92%
NIO
AAPL,
-1.77%
Apple
APE,
-8.40%
AMC Entertainment preferred shares
BBBY,
-8.52%
Bed Bath & Beyond
AMZN,
-2.34%
Amazon
DWAC,
-0.64%
Digital World Acquisition Corp.
The chart

More market-bottom talk:


Twitter

Random reads

All about the investment manager who caught Yankees’ superstar Aaron Judge’s record-breaking home run.

An iPhone in a 162-year old painting? The internet is stumped.

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Listen to the Best New Ideas in Money podcast with MarketWatch reporter Charles Passy and economist Stephanie Kelton

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Popular Crypto Strategist Issues Severe Warning on Embattled Altcoin That’s Exploded by Over 330% in a Month

A widely followed crypto analyst is issuing a warning to investors about an altcoin that has surged over 330% since August.

The pseudonymous trader known as Crypto Capo tells his 510,000 Twitter followers that he believes Terra Luna Classic (LUNC), the rebranded version of stablecoin issuer Terra (LUNA), is bad news and that investors should steer clear from it.

“How many people do you think are falling for the LUNC scam again?

My advice: stay away from it.”

LUNA crashed in May after its stablecoin depegged from the US dollar, causing its price to lose over 99.9% of its value. According to Capo’s charts, LUNC is due for a massive crash in the coming days.

Source: Capo/Twitter

The crypto asset is currently moving for $0.000439 at time of writing, a 16.46% drop on the day but a massive 337% increase since early August.

The analyst goes on to give bearish outlooks for a handful of digital assets, including Bitcoin (BTC).

Capo predicts that the top crypto asset by market cap will climb to the $22,500 to $23,000 range after it reclaimed support near $19,600.

“We got the second bullish confirmation with a reclaim of the $19,600 with strong volume.

Price is at resistance now and could retrace a bit, but in my opinion it will go higher during these days, to the main target of $22,500-$23,000.”

Source: CryptoCapo/Twitter

The analyst’s chart indicate he believes the king crypto will dip into the “buy zone” of $14,000 to $16,000 sometime in October.

Bitcoin is currently moving for $21,290, a 9.8% gain on the day.

Capo also has his sights on smart contract platform Cardano (ADA). His analysis shows that Cardano will rise to around $0.55 before dipping to the $0.35 area in the middle of September.

Source: Capo/Twitter

Cardano is currently valued at $0.52, up over 7% in the past 24 hours.

The analyst also notes that top altcoin Ethereum (ETH) will follow a similar pattern. His charts indicate that the leading smart contract platform will rise to $1,800 before dipping into the $1,350 range.

“[Stop/loss] was triggered at breakeven. Re-entering this trade with a better [risk ratio]. Same target ($1,800).”

Source: CryptoCapo/Twitter

ETH is changing hands for $1,717 at time of writing.

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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.

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Crypto Strategist Says One Ethereum Rival Is Preparing for Liftoff, With Bitcoin (BTC) Bottom Likely In

A closely followed crypto analyst is predicting a surge for a popular Ethereum (ETH) challenger while saying that Bitcoin (BTC) may have already printed this cycle’s low.

Pseudonymous analyst Cantering Clark tells his 142,300 Twitter followers that smart contract platform Solana (SOL) is gearing up for a move that could trigger a strong rally from current prices.

“Just look at the chart. SOL looks like it is consolidating against resistance and compressing to fly… This daily [chart] looks good, and we haven’t seen nearly as much mean reversion as I would expect. SOL.”

Source: Cantering Clark/Twitter

Looking at the analyst’s charts, it appears that the next major resistance for Solana is around $75. At time of writing, SOL is swapping hands for $46.98, indicating a nearly 60% upside potential for the Ethereum competitor, according to Cantering Clark.

As for Bitcoin, the trader posits that BTC revisiting its 2017 bull market high around $20,000 and holding it as support on the weekly timeframe could be a fitting bottom signal.

“Crowds, is it possible that Bitcoin really was this simple?

Everyone talking about a drawdown that should match prior drawdowns but disregarding the fact that the recent bull market was less intense than priors.

We kind of did revert to a good historical mean regardless.”

Source: Cantering Clark/Twitter

Cantering Clark points out that during the 2017 bull market, Bitcoin rallied by over 11,000% from the bottom. Meanwhile, the 2021 bull market saw Bitcoin posting gains of less than 2,000%.

“Eyes having issues?”

Source: Cantering Clark/Twitter

The crypto analyst also warns traders who are planning to short sell Bitcoin due to its relative underperformance over the past weeks.

“Bitcoin is being very dull and giving the impression of weakness.

‘Never short a dull market.’

This kind of reminds me of 2020 structure off March lows.”

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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.

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