Analyst: Altcoins Performing Well Against Ethereum – Not Bear Market Yet
According to Nicholas Merten, a prominent crypto analyst and trader, the performance of Cardano (ADA), Binance Coin (BNB), Solana (SOL) and Avalanche (AVAX) is an indication that the crypto market is not in bear territory yet.
In a recent video YouTube video, Merten shared with his 493K followers that one biggest signals of a crypto bear market is when altcoins start lose against Ethereum (ETH).
Over the past month, Cardano has rallied over 30% against ETH, which shows that investors are buying altcoins even as price action looks uncertain, Merten says.
“We can see that since back in December, about a month ago, ADA/ETH has made about a 33% move here… You can see here, generally speaking about a 30% move up against Ethereum. So that’s kind of interesting… You’d generally think that ADA would be bleeding heavier than Ethereum.
We’re not here to follow the crowd. The crowd was extremely bullish on ADA back here a couple of months ago. Now we’ve got a discount, and it’s starting to trend higher. That’s something that interests me.”
According to the analyst, Binance Coin also looks healthy against Ethereum (BNB/ETH).
“If we get back above (resistance at 0.16 ETH) we could really start to see a move higher. We’re not seeing any major bleeding against Ethereum, as we should see.”
While, smart contract platform Avalanche (AVAX) already moved significantly up last year, it still looks bullish against Ethereum (AVAX/ETH), which delivers good news to the rest of the market.
“To be fair, the chart doesn’t look bad. I mean we’ve got higher lows here, consistent historical resistant range. If you pop up above this range (0.03 ETH), I think with a nice solid weekly close, AVAX could continue rallying big time against Ethereum.”
According to Merten, also Solana (SOL) is looking good against ETH (SOL/ETH). The pair looks resilient, which could be a sign that Solana is making a push for a leg up.
“Momentum has rolled over there. It’s been stagnant since back here in September against ETH. Nonetheless, we’re not seeing a major sell-off. Not in the slightest. So it’s just a matter of seeing, does it break below the lows at 0.038 ETH or does it get up here at 0.06 ETH and start to trend higher. I wouldn’t be absolutely panicking right now if I was a Solana holder… It’s still holding pretty good.”
