ETH/BTC breaks key resistance, analyst predicts altcoin rally
ETH/USD reached a new all-time high above $4,600
ETH/BTC also broke above key resistance level
Alts could follow Ethereum’s lead to see new highs
ETH rose to a new all-time high on Wednesday morning as bulls pushed the token’s price past $4,600 for the first time, taking it to highs of $4.634 before the momentum tapered off.
The cryptocurrency also performed well against Bitcoin (BTC), the world’s largest digital asset by market cap. After breaking above resistance at 0.068461, the ETH/BTC pair spiked to highs of 0.073244 to complete a V-shaped recovery since the downswing seen in early October.
Ethereum could lead alts into a new rally
Today’s breakout for the ETH/BTC pair is a “great sign” for altcoins, according to the pseudonymous trader and analyst CrediBULL Crypto.
In a comment made before Ethereum touched a new ATH against the US dollar, the analyst noted that the crypto pair had broken above a key resistance zone he had been watching.
“This is a great sign and indicates $BTC dominance may have already found its top and alts may be about to steal the show, led by $ETH,” he added.
Blockroots.com co-founder Josh Rager holds a similar view and says ETH/BTC’s breakout could signal further upsides for Ether (ETH).
Meanwhile, Messari researcher Ryan Watkins is bullish on ETH, noting on Twitter that the uptick in Ethereum price is down to Ethereum being the king of smart contract platforms and running the show in diverse applications such as DeFi, NFTs, and Web3.
The ETH/BTC pair is trading above the 20 EMA and 50 SMA curves on the daily timeframe, while the RSI has bounced off support and is eyeing overbought conditions.
Alts to watch
According to data from CoinGecko, the total crypto market cap as of writing is $2.86 trillion, with Bitcoin and Ethereum dominance at 41.4% and 18.8% respectively.
While Ethereum’s rally is likely to suck liquidity from other alts, it’s possible a rotation of capital in the next few days could see major alts follow Solana (SOL) in ripping. Top altcoins to watch over the next few weeks are Cardano (ADA), Polkadot (DOT), Binance Coin (BNB) and Dogecoin (DOGE).