Famous cryptocurrency trader says Terra (LUNA) is following in the footsteps of Chainlink (LINK). The analyst also warns crypto investors of the downside risk of Phantom (FTM). The analyst predicts a strong move on the downside for Bitcoin as well, talking about a journey that will eventually fall below $30,000.
Predicted bearish altcoin projects
A closely followed crypto investor and analyst, pioneering altcoin Ethereum (ETH) competitor Terra (LUNA), decentralized He says he can follow the same path that oracle Chainlink (LINK) did when it experienced its last major fix. The pseudonymous analyst known as Capo tells his 248,000 Twitter followers that investors missed some striking similarities in price action between Chainlink (LINK) and Terra (LUNA). The analyst focuses on the similarities between LUNA and LINK coins, saying, “They perform very similarly when the entire market is down. “We expect LUNA to head to the lows of the range ($40-$45) after confirming the normal bearish trend.”
At the time of writing, Chainlink (LINK) is currently priced at just over $13.00, about 75% below its all-time high of $52, while Terra is 14% below its $104 peak. It is trading at $89.01.
Fantom and Bitcoin are among those warned
According to famous analyst Capo, smart contract platform Fantom (FTM) also seems significantly vulnerable to further downside risk. He points out the large increase in open interest (OI) as FTM trends fall, and suggests that sentiment often tends to be very bearish as traders aggressively try to short the money. “FTM is something you don’t want to see during a downtrend. That looks pretty bad, to be honest,” he says.
As for Bitcoin, the popular analyst makes a comparison between BTC’s current price action and the price action during the big crash in May 2021. According to Capo, Bitcoin’s February relief rally and subsequent shifting price action is reminiscent of May last year, just before BTC made another price move. According to the analyst, who is closely followed by Kriptokoin.com readers, BTC is on the downside with a strong move, finally falling below $30,000.
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