Trader: Bitcoin's Current Rally Isn't Corrective, It's Impulsive
Is Bitcoin’s current rally just a bull trap, or is it actually headed for the moon? Trader Alessio Rastani and co-founder of Wintermute Trading, Yoann Turpin, explain why Bitcoin’s upward momentum may be impulsive in nature rather than corrective.
Don’t miss the latest episode of Cointelegraph’s crypto market discussions for further analysis of the long term future of Bitcoin and a glance at which altcoins are looking promising at the moment!
Bitcoin to Keep Going Higher?
Rastani is a believer in Elliott Wave Theory. According to Investopedia, Elliott Wave Theory is a method of technical analysis that identifies impulsive and corrective movements based on three-wave and five-wave patterns. Impulsive waves are in line with the trend, while corrective waves are against the trend. Rastani uses this methodology to describe Bitcoin’s current rally.
“...from an Elliott Wave perspective, this rally to me is not corrective. To me, it's actually impulsive. So we've got five waves already in this rally. This five wave rally tells me that we're in the beginning of a major - this to me is wave one of a longer term bull market in Bitcoin.”
Turpin, on the other hand, approaches the Bitcoin market from a more macro-oriented perspective. He sees Bitcoin’s success as a function of its correlation with the stock market and as its role as an alternative asset.
“I'd like to believe that the correlation from here would be much less from here and actually just push Bitcoin further, justifying actually the fact that if, you know, states get more and more debt and then, you know, the fiat currencies get depreciated over time, then actually there will be more and more interest for alternative assets.”
Make sure to watch the full video for a more detailed look at Rastani and Turpin’s price targets.
Altcoin Chart Analysis
Bitcoin may dominate the cryptocurrency market capitalization, but altcoins should never be forgotten. In this video, our guests give their opinions on six of the top altcoins.
Turpin first explains why he’s keeping a close eye on Ethereum and EOS.
“So Ethereum as an infrastructure play, I think it's gone back and out of favor here and there. I quite like - for a long time I quite like EOS, not necessarily always in terms of the project, the quality of the project, but it's because they've done, you know, good and bad things with their money. But I like the fact that my perception of it is they raised so much money through their eternal ICO...”
Rastani goes on to break down the charts of a number of other altcoins, including Monero, Dash, NEO, and Chainlink. He expressed his amusement over the constant requests for his views of Chainlink.
“The first one I want to show you guys is Chainlink. I mention Chainlink because every time I talk about cryptos on my channel, on my YouTube channel, people always say, "talk about Chainlink." So I get a lot of comments about this all the time. So I just want to mention I'm not promoting any of these cryptos, obviously.”
Be sure to watch the full video to get the scoop on which altcoins are looking hot, and which are not.
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