BNB: It’s All in the BTC Ratio

Should you don’t know what coin season is or how to decide on your altcoin, I’ve already written about it few weeks in the past.

Altcoin season is when alts outperform Bitcoin. Almost certainly, alt dominance will come again, and one of the best survivors are those which have a historical past of ratio consolidation.

BNB is a superb instance of survival. Let’s take a look at the BNB/BTC ratio monthly chart.

(You'll be able to paste it like this on TradingView: CRYPTO:BNBUSD/CRYPTO:BTCUSD)

The historic cycle:

• Throughout 2018 - 2021: The BNB/BTC ratio shaped a double backside on the month-to-month chart, consolidated for some time, after which, in the late cycle when alts pumped, it shortly retraced again to its ratio all time high and broke out.
• This cycle: We will clearly see one other double bottom on the ratio in 2024 and early 2025. This fall is the place altcoin season ought to play out. That provides BNB a high probability of retracing again to its 2022 ratio all time excessive of 1BNB = 0.0175 BTC.

Now, do the maths:

Throughout alt season, BTC can easily heat as much as the danger zone of 70. Based on the Dynamic Danger Vary, BTC at 70 ~ $145Okay.

So the attainable worth of BNB can be:

$145Okay * zero.0175 = $2,537.5

That’s a modest 200% from the present worth. In fact, it might go greater if BTC pushes additional into the danger zone.

And don’t overlook ETH, the blue chip, king of alts. ETH leads alt season: it breaks ATH first, and it often lasts until the very finish of the cycle. In each 2018 and 2021 tops, BNB topped right when ETH was peaking, with ETH danger within the 90 range. It’s affordable to use the ETH danger metric as ur navigator for altcoins.

I really like the survivors, they’ve stood the check of time. The market will all the time be risky, however that’s the game. Hold your eyes on the danger metric.