The crypto market has started off the week, in a rather sluggish way. BTC fails to make further gains but is holding ground above $41K. ETH too is trying to inch towards $3K resistance level. Most other coins follow the same trend.
The charts show that Bitcoin (BTC) and Ethereum (ETH) are about to end their four-month downtrends, according to widely followed crypto expert Nicholas Merten.
Merten tells his YouTube viewers in a new video that Bitcoin bulls have been keeping the market afloat since January by printing higher-low settings regularly.
He says he’d like to focus on not just the steady price support that we’ve been witnessing, but also the excitement in pricing as price has continued to hit higher lows since late January.
Merten believes BTC is poised to bottom out before a run above $60,000, based on his chart.
The Ethereum/Bitcoin pair (ETH/BTC) is next. ETH/BTC also appears to be positive, according to Merten, as the pair continues to respect its diagonal support.
“The main point I’d want to draw your attention to is the increasing strength we’ve seen in the ETH to BTC ratio.”
He explains that, we’re seeing the same exact trend here: a steady support range and/or higher lows, which we’ve been witnessing since early 2021. Now we’re witnessing a return to the short-term pattern of the ratio climbing higher.
According to Merten’s forecast, ETH/BTC is expected to rise to 0.09 BTC, which is now valued at $3,790, in the next few months.
He explains that, looking at the dollar pair for Ethereum, it appears that we’re set up not only with the higher lows and consistent descending resistance that we can be setting here in the coming days or weeks for a pop up higher above the $3,000 range, but also with the higher lows and consistent descending resistance that we can be setting here in the coming days or weeks for a pop up higher above the $3,000 range.
While bullish reversals may not occur overnight, the market structures of both Bitcoin and Ethereum signal a trend shift, according to Merten.
In terms of Ethereum, Merten believes the main smart contract platform will experience a boom before the end of the month.
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