Coinspeaker
Common Meme Cash Can See As much as 80% Correction, Analyst Predicts
To date this 12 months in 2024, meme cash have loved a robust run-up compared to different crypto market sectors. Even when the Bitcoin and altcoin market rally paused since April, the meme coin rally has continued backed by the current catalyst offered by meme shares like GameStop Corp (NYSE: GME) and AMC. Nonetheless, as per a few of the market analysts, the meme coin social gathering may very well be ending very quickly. That is very true for meme cash like Pepe (PEPE) which have given multi-fold returns in a really quick time frame.
A crypto analyst who navigated the 2023 cryptocurrency surge anticipates a downturn for meme coin PEPE.
Pseudonymous analyst DonAlt, addressing his 553,800 followers on the social media platform X, means that PEPE could be poised for a big decline. He observes that PEPE lately skilled a false breakout to new all-time highs earlier than descending under its vary excessive of $0.000009959.
In technical evaluation, such a false breakout usually signifies a bearish pattern, indicating that sellers are surpassing demand. The market analyst added:
“Fell below the previous highs. For now, that looks like a false breakout. As long as that’s not reclaimed, that’s a bearish chart. If reclaimed, that’d be quite bullish but only then.”
As of press time, PEPE is buying and selling 2.14% up at a value of $0.000009359 with a market cap of $3.94 billion. It’s at the moment the third-largest meme coin after Dogecoin (DOGE) and Shiba Inu (SHIB).
Meme Coin Dogwifhat (WIF) Flashes Bearish Sign
One other meme coin that DonAlt is at the moment bearish on is Dogwifhat (WIF). Relating to the meme coin WIF, DonAlt suggests the altcoin stays bearish until it manages to reclaim an important value degree.
“Approaching the range low once more. Still exhibiting strong bearish signals. Improvement would be seen if it surpasses $2.77 or falls below $2”. As of press time, WIF is buying and selling 6.54% up at a value of $2.71 i.e. very a lot near its breakout resistance ranges.
Assessing the broader meme coin panorama, DonAlt anticipates vital devaluations throughout the altcoin sector, drawing insights from earlier market cycles.
“If I’m right, the popular memes we trade today will trade 80%+ lower. Then you’ll have new memes come up that build new communities that run up. And we’ll have the same discussions in a couple of years. Why am I saying that? Because we’ve gone through this exact scenario a hundred times in crypto history already. If the meme top isn’t in, it will be eventually. And then you’ll get a 90% nuke on all of them, even the most ‘blue chip’ memes (lol) that exist. It repeats every cycle,” the analyst famous.
Common Meme Cash Can See As much as 80% Correction, Analyst Predicts
