An analyst, known for his accurate predictions in the cryptocurrency market, has resurfaced. This analyst correctly predicted the market’s bottom in 2022. He has now made some concerning comments about meme coins, alarming investors.
Analyst’s Comments on Meme Coins
DonAlt, an analyst, issued significant warnings on social media platform X about meme coin projects potentially collapsing suddenly.
I am personally convinced that everything is over for meme coins; the rest of the market might recover, but I expect meme coins to experience a giga rug pull. If your portfolio includes the 10th iteration of a dog or cat coin, good luck.
The analyst made specific comments about certain meme coins, warning that Pepe (PEPE) could drop to a lower range if it fails to maintain the $0.00000998 level as support on the daily chart.
PEPE: A good breakout, technically bullish as long as it holds. If it fails and returns to the range, I will short targeting the range lows. I prefer WIF but might spread my bets.
Pepe is trading at $0.000010016 after a 0.5% increase in the last 24 hours. PEPE’s market cap has reached $4.2 billion after a 0.46% increase. Its 24-hour trading volume has dropped to $1 billion after a 36% decrease.
According to the analyst, if the meme coin dogwifhat (WIF) fails to reach and turn the $3.15 high level into support, it could drop to the $2.23 low range.
WIF: Actively wants to short the high range. Target a place below the low range. If the range breaks properly, it’s wrong.
WIF continues to trade at $2.83 after a 1.24% drop in the last 24 hours. WIF’s 24-hour trading volume has dropped to $526 million.
Why Is the Analyst Against Meme Coins?
The analyst also listed several reasons why he is bearish on meme coins.
Reasons why I am against memes:
- There are already an infinite number of meme coins.
- Thousands more are released every day.
- Many people believe in the GME-meme rotation narrative (which I think is beyond stupidity).
- The charts generally do not look good.
- Sentiment has largely shifted to bullish.
