Is it DeFi season? Top Trader Predicts Two Hot Crypto Sector Altcoins Will Take Off

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A closely watched crypto-trader, known in the industry as the Smart Contract, predicts giant rallies for two altcoins in the decentralized finance (DeFi) space.

The pseudonymous trader tells his 158,500 Twitter followers that the Aave decentralized lending and borrowing protocol is one of the altcoins that could potentially rise in the coming months.

Smart Contract says it views Aave paired with Ethereum (AAVE / ETH) as an indicator of what the asset might be doing in its USD pair.

“Looking at the USD pair if AAVE / ETH rips 50% of that large bullish flag daily, the USD pair is probably already in a prolonged wave 3 en route to all-time highs.”

Source: smart entrepreneur / Twitter

The trader relies on Elliott Wave Theory, a technical analysis approach that aims to predict price action by following crowd psychology that manifests as waves. According to the trader’s chart, Aave would complete his ascent in five waves to a new all-time high of around $ 700 by November.

At the time of writing, AAVE is trading at $ 411, according to CoinGecko.

The trader also has an eye on the SushiSwap Automated Market Maker (SUSHI). According to Smart Contract, SUSHI has clearly turned its technical resistances into supports and could eventually break free from the model to reach new heights.

“Sushi made clean SR [support-to-resistance] flips all the way, but I suspect there will soon come a time when it will break loose and start proper markup and SR flips will become a thing of the past.

Source: smart entrepreneur / Twitter

The crypto-trader is also monitoring the coupling of SushiSwap with Bitcoin (SUSHI / BTC). According to Smart Contract, SUSHI / BTC is poised to challenge its 2021 high of around 0.000522, worth $ 24.71 at the time of writing.

“Imagine the perfect bounce and bullish engulf of this new breakout test. Sushi about to melt faces in my opinion.

Source: smart entrepreneur / Twitter

According to the trader’s chart, SUSHI / BTC is in the middle of a third wave rally, which is the longest rise in the five wave uptrend in Elliot Wave Theory.

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