A widely followed crypto analyst is issuing fresh warnings for a trio of altcoins as the markets attempts to recover from a lengthy downtrend.
The pseudonymous trader known as Altcoin Sherpa tells his 183,000 Twitter followers that layer-1 blockchain Avalanche (AVAX) and Ethereum (ETH) scaling solutions Polygon (MATIC) and Optimism (OP) are primed to see downswings.
The analyst says that bearish market conditions could push AVAX below $13 before it sparks a recovery.
AVAX: Overall market structure is still bearish, if this is the bottom then wouldn’t be surprised to see at least one last shakeout to $13 or lower and then recovery starts. It would look like a double bottom (chop around for several months too). Still bearish for now.
AVAX is trading for $17 at time of writing.
Altcoin Sherpa then sets his sights on MATIC, and says that he expects the crypto asset to see a sizeable dip before settling near $0.60 close to the end of the year.
MATIC: Higher time frame idea for this one… looking at $0.60.
MATIC is changing hands for $0.733 at time of writing, more than a 50% correction away from the analyst’s lowest target of $0.35.
Looking at OP, Altcoin Sherpa says that he sees the layer-2 dropping to $0.50 and wont spark a bounce back for quite some time.
OP: Probably going to $0.50 or so in the longer term… I don’t see this going on a run for a long time. Don’t buy this for the long term in my opinion.
OP is valued at $0.89 at time of writing.
Check Latest News Headlines
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.
Feaatured Image: Shutterstock/BRADLEY LAWSON
This article was originally reported on The Daily Hodl.