An analyst known for making timely crypto calls is sounding the alarm about the possibility that the asset class may be hovering close to a bull market peak.
Pseudonymous analyst Bluntz tells his 309,000 followers on the social media platform X that while there are some coins still flashing bullish signals, the market as a whole may be on the verge of printing a cycle top.
“There are crypto top signs everywhere right now.
Definitely some nice charts around still but regardless of that, I think we’re at the stage in the cycle where it would be prudent to take some chips off the table.”
Bluntz looks at Bitcoin (BTC) to support his stance. According to the analyst, BTC is at the tail end of a five-wave surge that started in early 2023.
The trader follows the Elliott Wave (EW) theory, which states that a bullish asset witnesses a five-wave rally before ending an uptrend.
“From an EW perspective, every single wave within this bull run on BTC can potentially be accounted for now, in my opinion.
Every sub-wave within the wave that started back in August AND five waves from within the cycle bottom (2022) lows.
Can we go higher from here? Sure it’s possible. Does this mean you should 100% cash out? Probably not, because you’ll likely just FOMO (fear of missing out) back in at any sign of strength.
As I said yesterday though, at least taking some chips off the table would be wise.”
At time of writing, Bitcoin is trading for $101,235.
Another coin that may have hit its bull market peak is (SOL), according to Bluntz. The trader notes that SOL appears to have completed a five-wave rally on the monthly chart with a bearish reversal signal to boot.
“SOL monthly has a clear five-up with a monthly bear divergence brewing.
SOL lower time frame has a five down from the highs.
Do with this what you will.”
A bearish divergence suggests that an asset may be gearing up for a downtrend as momentum wanes while price trades higher or sideways.
At time of writing, SOL is worth $234.
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