Cryptocurrency analyst and trader Ali Martinez is saying that the price of Dogecoin (DOGE) is exhibiting behavior it has previously displayed before embarking on massive rallies.

Martinez tells his 61,200 followers on the social media platform X that the largest memecoin by market cap earlier this year broke out of a descending triangle, which is considered bullish if the price breaks out above the upper trend line, on the weekly chart.

“It is currently undergoing a 47% price correction, very similar to previous cycles, which could ignite the next DOGE bull run!”

According to Martinez, Dogecoin exhibited similar price behavior in 2017 and 2021.

“In 2017, DOGE broke out of a descending triangle. Then, DOGE retraced by 40% before entering a 982% bull run!”

“In 2021, DOGE broke out of a descending triangle again. Then, DOGE retraced by 56% before skyrocketing by 12,197%!”

“Over the years, Dogecoin appears to mirror its previous bull cycles! All you need is a little bit of patience.”

Dogecoin is trading at $0.13 at time of writing.

Next up is the second-largest memecoin by market cap, Shiba Inu (SHIB). Martinez says that he entered a long position nearly 20% below the current level and is targeting a gain of close to 4x.

“Shiba Inu appears to be forming a bull flag on the daily chart! I’m placing buy orders around $0.000018343, aiming for a bullish breakout that sends SHIB to $0.000072323.”

SHIB is trading at $0.0000225 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 losses 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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The winds of change are swirling around Ethereum, the world’s second-largest cryptocurrency. Despite a recent price dip, the network has witnessed a surge in new user activity, sparking a wave of optimism. However, the outsized influence of large holders, known as whales, continues to cast a long shadow.

New Wallets Open For Business

Data from blockchain analytics firm Santiment reveals a surge in new Ethereum wallets, with a record-breaking 267,000 created on April 28th and 29th. This influx marks the highest two-day increase since October 2022 and suggests a potential resurgence of interest in the Ethereum network.

📈 #Ethereum saw a milestone as April came to an end. 266.6K new wallets were created on April 28th and 29th, the highest 2-day stretch of network growth since October 8th and 9th, 2022. It is a strong that $ETH continues expanding despite dipping prices. https://t.co/SN6xqc3JXV pic.twitter.com/KDcjhY30y5

— Santiment (@santimentfeed) May 1, 2024

This trend defies the current market downturn, with many cryptocurrencies experiencing significant price drops. Analysts speculate that the rise in new wallets could be fueled by several factors, including:

• Anticipation of future growth: Investors may be looking towards upcoming Ethereum upgrades that promise improved scalability and security, betting on the network’s long-term potential.
• Bargain hunters: The recent price dip might be seen as an attractive entry point for new investors seeking a discount on Ethereum.

On Minnows And Whales

While the number of new users is encouraging, a closer look at Ethereum’s address distribution reveals a stark disparity in holdings. According to CoinMarketCap, a staggering 97% of Ethereum addresses hold between $0 and $1,000 worth of the cryptocurrency. This signifies a large pool of small-scale investors, often referred to as “minnows.”

However, the real power lies with a select few. Whale tracking platform Clank estimates that whales, representing only 0.10% of all Ethereum addresses, control a whopping 41% of the total circulating supply. This translates to an average holding of nearly 10 million ETH per whale, valued at a staggering $3.7 million.

Ether market cap currently at $362 billion. Chart: TradingView.com

Holding Steady: A Vote Of Confidence?

Despite the recent price decline, Ethereum appears to be weathering the storm better than the broader crypto market. In fact, Ether is up more than 30% year-to-date (YTD) from an opening price of about $2,282.

As of today, Ethereum sits at $3,014, with a total market capitalization of $362 billion. Notably, the market experienced an average decline of 8.75% over the last week, highlighting Ethereum’s relative resilience.

Source: CoinMarketCap

Furthermore, data suggests that a majority of Ethereum investors (74%) are long-term holders, demonstrating a strong belief in the project’s future. This “hodling” mentality indicates a commitment to maintaining their Ethereum positions for the long haul, even in the face of short-term market fluctuations.

Featured image from Pixabay, chart from TradingView

Disclaimer: The article is provided for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Popular trader and economist Alex Krüger says he’s currently “max long” on the crypto market.

Krüger tells his 173,800 followers on the social media platform X that he’s hedged and unhedged multiple times but he’s now max long in “very concentrated positions.”

The economist notes that he’s looking to “de-risk” soon. However, he acknowledges that Bitcoin (BTC) could drop as low as $52,000 after plunging below $59,000. BTC is trading at $57,093 at time of writing and is down more than 4.5% in the past 24 hours.

Explains Krüger,

“I’m not immune to bear raids. My bigger picture view has not changed: new ATHs later in the year (for Bitcoin). End-of-cycle views make little sense to me. A correction was to be expected.” 

The economist also notes that he has positions in the layer-1 blockchains Solana (SOL), Toncoin (TON), Aptos (APT) and Core (CORE), as well as the decentralized data storage protocol Arweave (AR) and Bittensor (TAO), a decentralized blockchain platform that focuses on machine learning and AI.

Krüger adds that APT, CORE, AR and TAO are “much higher risk” than SOL and TON.

The economist also notes that Bitcoin had a bearish response to Wednesday’s U.S. Federal Open Market Committee (FOMC) statement.

“Very rare for price to reverse in full right after the press conference is over. And bearish, as the FOMC was dovish. And now you have trapped intraday longs. The one silver lining is BTC is trading in line with equities.”

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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 losses 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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