Market analyst Jamie Coutts provided a detailed market analysis in his X account on current market situations.
The overall crypto market recorded a modest increase in market cap and trading volume in the past day.
The crypto market’s recent price actions have left investors in a daze as they falter with their next moves. While uncertainty continues to prevail, market analysts are attempting to pacify the circumstances by providing clarity. Famed crypto market analyst Jamie Coutts published a detailed market analysis a few hours ago.
Firstly, Coutts highlighted the current market situation, which has witnessed intense price dips over the last six months. He then predicted that further declines might follow from previous price cycles. Specifically, inferring from the Top 200 Equal Weight Index Chart, Jamie Coutts predicts that a -55% pullback will occur from the last two price cycles.
Notably, this price dip might provide an opportunity for both individual investors and institutions to HODL and buy the dip. Furthermore, several institutions have shown buying activity over the past few weeks.
Secondly, the analyst referred to the Altsector outperforming Bitcoin over the past 90 days. Several altcoins such as Toncoin and SUI have shown significant price increases over the past few weeks despite bearish markets. However, Coutts believes that the altcoin sector outperforming the largest cryptocurrency is a short-lived phenomenon.
Additionally, the analyst felt that investors might consider altcoins when they are trending up on the absolute price chart and the relative chart. He elucidated two instances in 2020 and 2023 when that occurred.
“We Are in Final Throes of the Bearish Thrust” – Says Jamie Coutts
Jamie Coutts stated that the lack of a sustained Bitcoin bullish rally is what will make the alt season a short-lived phenomenon. The analyst by employing technical indicators identified trends that suggest an incoming bull regime.
One particular breath indicator, the Advance/Decline Index shows the number of cryptos that move upward despite bearish trends. This indicator’s momentum oscillator showing a bullish divergence was quoted as an early indicator of a bull run.
One way to gauge that we have moved back to a bullish regime is to track the number of assets above their 200-day MA. As of today, only 11% are above that. We need that to be > 45% to say with some conviction that a broad crypto bull market has resumed. pic.twitter.com/UMxnQ85yj4
— Jamie Coutts CMT (@Jamie1Coutts) September 17, 2024
Additionally, Jamie Coutts also referred to the number of assets trading above their 200-day MA. This is a solid indicator of a bull market, which, however, currently stands at 11%. The analyst stated that this metric needs to go above 45% to consider the return of an overall crypto bull run.
Meanwhile, inferring from cryptocurrency data aggregators, the overall crypto market has recorded a mild increase in market cap by 3.15%. Bitcoin has retraced to $60K at the time of writing, as per CMC data.
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