The analyst is giving a warning to these altcoin holders that they should be on the alert for a possible corrective move.
Warning for altcoin
A closely-followed crypto analyst is giving a warning to Ethereum (ETH) holders that they should be on the lookout for a possible corrective move. Nicknamed analyst Cred told 47,200 YouTube subscribers that Ethereum is currently struggling to break through a key resistance level on its monthly timeframe.
According to the crypto strategist, Ethereum’s current market structure puts it at risk of a quick pullback. According to cryptokoin.com data, Ethereum is traded at $ 1,673. It is also still below Cred’s monthly resistance area. As for Bitcoin (BTC), Cred explains why he believes the king crypto rally has stalled. He adds:
“You can see that the momentum has changed significantly over the daily time frame. Here you had [$18,000 – $21,000] impulse, very short consolidation, another strong impulse. Here [$23,000] you just had consolidation, you tried to leave, but you couldn’t continue.
This is because here [$21,000], we have recovered the big level [$18,000] and we are in the middle of nowhere. Where we are now, however, we are at a large level, so you cannot necessarily expect the same kind of price action.”
Bard exited and FET dropped
Fetch.ai and other AI-linked tokens are rising alongside ChatGPT-driven AI narrative. As a result, FETUSD rose more than 1,000% from lows and Google scrambled to launch rival Bard.
After several months of strong gains, FET is already down 17% on the day as negative news about the Bard launch took a bite out of the AI hype. This is why it could be the start of a short-term trend change on Fetch.ai and result in an 80% drop even during a severe bull market.
Google disrupts the launch of ChatGPT Rival Bard
Fetch.ai and other AI cryptocurrencies outperformed the rest of the market just after a bigger AI craze. Everywhere you turn, the media, social media influencers and ordinary people talk about the potential of ChatGPT.
Threatened by the immediate importance and great promise of ChatGPT, Google hastily released Bard, an artificial intelligence-driven version of the chatbot. However, experts claim that he made a real mistake in his first demo.
In the demo, Bard says the James Webb Space Telescope has “taken the first pictures of a planet outside our own solar system.” This mistake suddenly turned a steady stream of positive media reports surrounding AI as shockingly accurate into negative headlines questioning its validity.
Started to experience decline
Fetch.ai has recovered more than 1,000% from bear market lows and some signs point to the start of a new bull market. During the last bull market, FET also performed early, but still suffered not one, but two roughly 82% dips.
Such a drop does not necessarily mean the end of a bull run in AI tokens or crypto as a whole. After an initial correction of over 80%, this altcoin has rallied more than 2,000%. After the second 80% correction, the FET went up another 700%.
ChatGPT has shown incredible promise and Google has to act with Bard. Other tech companies are doing the same in the AI arms race. While the FET is subject to a strong correction at some point, it should be seen as a possible buying opportunity because the AI narrative isn’t going away.
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