A popular crypto analyst and trader is issuing a warning to Cardano and Solana traders, saying that smart money investors are waiting for sharp corrections on ADA and SOL.
Pseudonymous crypto strategist Pentoshi tells his 453,500 Twitter followers that he’s looking for a deep pullback on smart contract platform Solana after its explosive run from $1.51 in January 2021 to its current price of $168.32.
“Also, you have to assume that smart money looks at charts like this up 250x in a year and is like, ‘Yes, now is the time to deploy my capital.’
As opposed to being patient, and shaking out dumb money. Odds aren’t favorable in my opinion. Although I think Q1 gives some decent exits for many.”
Looking at Cardano, Pentoshi says the smart contract platform is due for a rally after its steep decline from $3.00.
However, he warns that rally will be met with sell-side pressure that could potentially drive ADA below $1.00.
“ADA mid-late 2022 prediction. Will break that lose this level its lights out, when we are visiting that level (1.00). There will be tweets on Twitter saying,
‘Lose this level and it’s lights out.’
But the lights actually go out.”
As for Bitcoin (BTC), Pentoshi says that while he’s bearish on BTC, he’s ready to flip his bias once it manages to reclaim a key resistance level.
“My invalidation would be $BTC reclaiming $58,000 – $60,000.
It’s clear level on all timeframes.”
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/DM7/Mingirov Yuriy/Tun_Thanakorn