A widely followed crypto analyst is issuing a warning about one red-hot utility altcoin, saying it could be in for a slow bleed to the downside.
Pseudonymous crypto trader Bluntz tells his 305,200 followers on social media platform X that HYPE, the native altcoin of decentralized perpetual trading platform and layer-1 blockchain Hyperliquid, may be due for a significant correction.
According to Bluntz, who applies the Elliott Wave theory in his technical analysis, HYPE appears to have completed a five-wave rally and now looks as if it is entering an ABC corrective wave that may last into early next year.
The Elliott Wave theory states that a bullish asset tends to witness an ABC correction after completing a five-wave upside move.
“HYPE had a good run but peak mindshare and clear as day five wave rise from inception here. I think it sees a long slow bleed back down to minimum $20 in my opinion.”
HYPE is trading for $26.98 at time of writing, up more than 600% from its $3.81 low on November 29th.
However, fellow pseudonymous crypto trader Altcoin Sherpa tells his 236,200 followers on the social media platform X that HYPE will likely chop around a range with a bottom bound of $25 and an upper bound of $30 before breaking out.
“HYPE back down to $25 now. This is the range we’re playing. HYPE will eventually be wild though when volumes start to ramp up and full-blown bull comes along. But let’s see. Choppy in the short term, I’m just going to look to buy more.”
Don’t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Follow us on X, Facebook and Telegram
v2snippetminusbitcoin]
Generated Image: Midjourney
Read the full article here