The cryptocurrency trader and analyst Dan Gambardello revealed in an X post earlier today that Bitcoin’s (BTC) dominance is dropping. According to the post, this may open up the potential for altcoins to rally before the upcoming halving event estimated to take place in April.
Cardano Record-Breaking Moment! Ethereum Rally Pending…
Intro 00:00
Alton season timeline right here! 00:30
ADA/BTC bottoming out 3:00
ETH/BTC bottoming out 3:35
Ethereum power play 4:30
Cardano about to break huge milestone! 7:50 pic.twitter.com/GR9FODDfRA— Dan Gambardello (@cryptorecruitr) December 6, 2023
In his analysis, Gambardello mentioned that BTC’s dominance reaching between 60% to 67% was still a possibility. Nevertheless, he speculated that the market leader’s dominance could drop significantly as the halving event approaches.
Should traders exit their positions in BTC and direct the capital towards altcoins, the analyst believes that Cardano (ADA) and Ethereum (ETH) will be the main beneficiaries. With regards to ETH, he highlighted that it has a first-mover advantage in the altcoin market, which could see it be one of the best performers in the next altcoin season.
Weekly chart for ETH/USDT (Source: TradingView)
He also predicted that ETH could break out in the coming weeks as it has managed to rise above the base of a long-term ascending triangle. On the other hand, he also warned that there is still the risk of ETH’s price recording a higher low at $1,800 in the medium term.
Looking at ADA, the analyst highlighted that the altcoin has managed to close the past 7 weekly candles in the green, and could be on track to close this week’s candle in the green as well. ADA closing eight consecutive weekly candles in the green will be a first, noted the analyst.
Weekly chart for ADA/USDT (Source: TradingView)
He also shared that his upside target for ADA is $0.45. Furthermore, he predicted that a break above this significant price point would be “insanely bullish.” Despite the bullish setups for ADA and ETH, Gambardello did state that it may take a few months for altcoins to truly break out. He estimated that the real altcoin season may only take place in the months following the halving.