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Analyst Who Nailed May 2022 Bitcoin Crash Forecasts 50% Drop for Two Large Cap Crypto Assets

source-logo  dailyhodl.com 27 November 2022 01:49, UTC

A widely followed crypto analyst who predicted the Bitcoin (BTC) crash in May 2022 says that two top-10 digital assets could soon face steep drops in price.

Pseudonymous crypto trader Capo tells his 677,000 Twitter followers that he expects the leading smart contract platform Ethereum (ETH) to correct somewhere between $600 and $650.

Source: Capo/Twitter

The second-largest crypto asset by market cap is changing hands for $1,218 at time of writing, a 2.64% increase during the last 24 hours. A pullback to Capo’s price prediction would represent about a 50% drop for ETH.

The strategist then turns his attention toward Binance Coin (BNB), the native asset of Binance, the world’s largest crypto exchange platform by volume. Capo envisions the token plunging to the $125 to $135 range should BNB break below $250 and confirm it as resistance.

Source: Capo/Twitter

BNB is currently valued at $308. A price drop to the trader’s bearish price target would mark a nearly 60% correction for the crypto asset.

While Capo is bearish on Ethereum and BNB, prominent market intelligence firm Santiment says that the crypto markets, including ETH, could rise as traders show signs of capitulation. The insights company highlights that traders are currently bearish on crypto, which it notes could create an atmosphere where markets could bounce.

“The word ‘dead’ has been rapidly circulating around crypto platforms in November. As one of the more bearish sentiment words, this is a sign of traders giving up on markets rebounding. Ironically, this capitulation is historically when markets rebound.”

Santiment also looks at the whale and shark activity centered around ETH, saying that the deep-pocketed entities are gobbling up the largest altcoin at the most significant rate in two years.