In the ever-evolving crypto landscape, a renowned analyst has shifted focus from popular cryptocurrencies like Bitcoin and Ethereum to lesser-known altcoins with high potential. One such altcoin, CVX, a native token of the Convex Finance decentralized exchange, has caught the analyst’s attention. Ranked just outside the top 200, CVX is poised for a significant price surge, according to the expert’s analysis.
Why Is CVX Anticipated to Rise?
Credible Crypto, an influential figure in the crypto community, shared his bullish expectations for CVX on social media platform X. He highlighted the token’s readiness to kick off a robust upward movement, entering the third phase of its USD pairing. Credible Crypto believes this phase could lead to substantial gains, initially targeting a price of $4.70. He bases his forecast on the Elliott Wave theory, which suggests that the third wave of a bullish trend is typically the most powerful.
What Is the Elliott Wave Theory?
The Elliott Wave theory, employed by Credible Crypto, posits that financial markets move in predictable cycles or waves. According to this theory, a bullish asset experiences a five-wave rise, with the third wave being exceptionally strong. The analyst’s chart indicates that CVX’s third wave could drive its price to $4.40 initially, followed by a potential move above $7. As of now, CVX has seen a 2.40% increase in the past day, trading at $2.83.
Key Inferences
From the analysis, several actionable insights emerge for investors:
- CVX is approaching a critical support level in BTC and USD pairings.
- The third Elliott wave could propel CVX prices significantly higher.
- Close monitoring of support levels can reveal optimal entry points for investments.
Next, the analyst examined XRP, predicting a final correction before a move to the $1 region. He suggested that a drop to $0.50 or below could present a trading opportunity. Currently, XRP is trading at $0.6084 with a market cap exceeding $34 billion.
Lastly, the analyst reviewed Ethereum (ETH), anticipating a potential dip below $2,800. He linked this scenario to potential weaknesses in Bitcoin (BTC). Presently, ETH is trading at $3,173 after an 8% drop, which is partly attributed to significant outflows from Ethereum ETFs.