A closely followed cryptocurrency analyst says that a popular altcoin is one of the few digital assets on the market currently showing bullish potential. The analyst, known as altcoin Sherpa, says that decentralized liquidity protocol THORChain (RUNE) is poised to recover as long as Bitcoin (BTC) manages to stay stable.
“There are several alternatives that look good and RUNE is one of them. Good volume is coming. I guess the 200-day exponential moving average provides some resistance and then if BTC stabilizes we will continue to rise.”
THORChain is powered by Tendermint Proof of Stake and is designed to facilitate exchanging crypto assets via decentralized cross-chain bridges. At the time of writing, RUNE was trading at $6.54, up 10.1% in the last 24 hours.
RUNE signals bullish while altcoin Sherpa says interoperable blockchain Polkadot (DOT) looks vulnerable. The crypto strategist says that if the DOT loses $16, the bears could target $11, which is about 30% lower than current prices.
The analyst, who also examines Ethereum rival Terra, says it may be better to wait for a correction before LUNA bulls place long positions. Altcoin Sherpa said that after printing an all-time high at $104, LUNA may still need to pull back for the bullish move to continue.
When it comes to Bitcoin (BTC), the popular trader is still waiting for one of the two levels to break before taking a position. According to altcoin Sherpa, BTC needs a clean break at $34,000 to confirm a bearish move of $46,000 or more to confirm a bull run.
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