A prominent digital asset venture capitalist believes that the bottom is likely forming for the top cryptos by market cap.
Chris Burniske, the founder of Placeholder Capital, tells his 263,600 followers on the social media platform X that a bull market is likely coming that will make the current financial quarter a clear cycle bottom for crypto prices.
“Fear is high, but temporally and price-wise, selling exhaustion is near IMO (in my opinion). Sure BTC could go to low $20,000s and ETH to low $1,000s and most everything long-tail (except SOL) can hit new lows, but when we look back on Q4 2023 and Q1 2024 it’ll be clear it was a good time to be a buyer.”
The trader says linear charts of several crypto assets indicate the market bottom is forming.
Linear charts plot the change in the absolute price of an asset, while the logarithmic chart plots the relative change based on the percentage increase or decrease in an asset’s value.
“To not overcomplicate, I’ll look at the long-term, linear charts. Just as it’s easy to spot tops with those, it’s easy to spot the general bottom range. From there, it’s all about your own style of accumulation, with patience and persistence being commonalities of bottom-feeders.”
Source: Chris Burniske/X
Looking at his Ethereum (ETH) chart, the trader shows that after a sudden dip, ETH is retesting both the 200-week simple moving average (SMA) and the 200-week exponential moving average (EMA) as support, which are key indicators traders use to determine market trends.
ETH is trading for $1,649 at time of writing, up 0.7% in the last 24 hours.