What does Daniel 4:18 mean?
Nebuchadnezzar has recalled his frightening dream (Daniel 4:4–5, 10–17). Now he turns to Daniel (Daniel 4:6–9) for an interpretation.The king calls Daniel by his Babylonian name, Belteshazzar (Daniel 1:6–7). This was a reference to the false deity Bel and assigned to Daniel to emphasize his new identity as a servant of Babylon. However, the king recognizes Daniel's access to power unavailable to pagan occultists (Daniel 1:17). He has seen this connection to truth in action at least once before (Daniel 2:46–47). Despite this, the king does not yet identify Daniel's God as the only real God. Instead, he perceives the Lord of Israel as one of many beings. This is why he credits Daniel's ability to "the spirit of the holy gods," rather than to God alone.
This is not the only time in Scripture that a godly man like Daniel declares truth which had eluded worldly wise individuals. For example, Pharaoh of Egypt was troubled by a dream and called together all the magicians of Egypt and all his wise men. He told them his dream, but not one of them could tell him what the dream meant (Genesis 41:8). Finally, he learned that imprisoned Joseph could interpret dreams. Therefore, Pharaoh summoned Joseph. Joseph interpreted that vision and attributed his ability to God's power (Genesis 41:9–32).