A closely followed crypto analyst says six major altcoins are flashing buy signals on their three-day charts, a technical setup that could mark the end of a brutal October selloff that deepened during the U.S. midterm elections.
Ali Martinez, who publishes chart analysis to his followers on X, said the TD Sequential indicator has printed buy signals on the three-day timeframe for Ethereum, Solana, Cardano, Sui, Aave and Chainlink. The indicator is designed to flag when a price trend is losing steam and a reversal may be near. The signals do not confirm a bottom on their own: Martinez framed each one as contingent on buyers stepping in and on the coins holding nearby support levels.
The calls came as the crypto market attempted a V-shaped rebound. Bitcoin and the broader altcoin complex sold off first on uncertainty surrounding the U.S. midterm elections, then recovered over the following 24 hours. Martinez's read is that the worst of the correction may already be priced in, though he stopped short of calling a new uptrend.
Ethereum, the second-largest cryptocurrency, slid roughly 22.6% from $2,806 to $2,171 before the buy signal appeared, according to the analyst. He said the first target if buying pressure builds is $2,500, with the setup's resistance trendline near $2,700 coming into play above that. Ethereum was trading near $2,330 at the time of the analysis.
Solana fell about 27.3%, from $124 to $90, and formed a similar three-day signal. Martinez said the $90 level must hold as support for a rebound toward $105 to materialize, with the trendline resistance near $120 as the next hurdle.
Cardano posted the steepest decline of the group, with ADA losing about 35% of its value and touching a 10-week low near $0.18 as markets digested the Democrats' decisive midterm victory. The analyst said a fresh 9 and a Sequential 13 buy signal appeared on the three-day chart, and he is watching $0.2268 first, with the setup trendline near $0.2677 above it.
Note: Levels and percentage moves as described by Martinez; prices are in U.S. dollars.
Sui, Aave and Chainlink round out the list. SUI traded near $0.92, up more than 5% on the day after bouncing off a low of $0.86, and Martinez identified $0.90 as the level to hold, with $1.11 and $1.20 as recovery targets. AAVE recovered to about $131 from $123, and the analyst is watching $146 first, then $176 at the setup trendline. LINK changed hands near $11 after climbing from a session low of about $10.60, with $11.30 as the resistance that must break to open a move toward $12.71 and then $14.
The caveat is that daily charts still look weak. All three tokens remain below their short-term moving averages, and momentum gauges have yet to confirm a bullish turn. SUI's Relative Strength Index sat at 44.20, above its moving average but below the neutral 50 line. AAVE was trading under its 20-day average of $139 and its 50-day average of $150, while its Aroon Oscillator at -64.29 pointed to persistent bearish momentum. Chainlink's MACD remained negative at -0.4125, though the shortening negative histogram suggested selling pressure was easing.
A separate signal came from Aave's adoption of Chainlink's pricing service for tokenized stock collateral on its Horizon platform, which allows valuations to update on weekends and market holidays. Chainlink has also rolled out a 24/7 pricing service for tokenized real-world assets, naming Aave among the users.
Not everyone is limiting the horizon to a short-term bounce. Michael van de Poppe said he expects altcoins to outperform Bitcoin now that midterm-related fear has faded, drawing a comparison to the rally that followed the previous Federal Reserve meeting. He singled out SUI as looking strong and said its bullish divergence remains intact. In a separate post, he argued LINK is primed for a move toward $20 in the first quarter of 2027, citing a roughly 35% correction from its September high and signs of bottoming near the $10.60 support area.
The backdrop matters for how much weight to give the signals. Crypto prices had already been under pressure from the $6.3 billion Binance hack before the midterm uncertainty added a second shock, leaving many tokens deeply oversold on shorter timeframes. TD Sequential buy signals in that environment often produce tradeable rebounds, but they can also fail quickly if support gives way. For Ethereum, a slip back below $2,171 would undercut the setup; for Solana, a break of $90; for Cardano, a move below the $0.18 low.
For investors, the practical takeaway is that the six charts now define a set of binary levels. Holding them keeps the recovery narrative alive and puts the stated resistance zones in play; losing them would suggest the October selloff has further to run. Martinez's targets are technical waypoints rather than price forecasts, and the signals themselves remain unconfirmed until buyers show up in size.
