During the early Asian trading hours, on Thursday, Bitcoin price crashed to an important support level as investors reflected on the latest FOMC. Similarly, most major altcoins declined sharply with Solana (SOL), Terra (LUNA), and Polkadot (DOT) recording double-digit losses.
With these Bearish Market sentiments, Cardano and Solana traders should be aware of a warning from a well-known crypto analyst and trader. According to him, smart money investors are anticipating significant corrections in ADA and SOL.
After an amazing climb from $1.51 in January 2021 to its current price of $168.32, pseudonymous crypto strategist Pentoshi warns his Twitter followers that he’s looking for a deep pullback on smart contract platform Solana.
“Also, you have to assume that smart money looks at charts like this up 250x in a year and is like, ‘Yes, now is the time to deploy my capital.’” Rather than being patient and shaking out a bunch of useless cash. In his judgment, the odds aren’t in your favor. Despite the fact that he believes Q1 provides some good exits for many.
The price has been struggling even for the $152 mark now. The price has been on a decline ever since then. The current price of Solana remains at $149. Solana Market remains bearish, but chart analysis and all the signs observed indicate a reversal trend soon.
Cardano (ADA) Price
Pentoshi believes Cardano, the smart contract platform, is due for a rally after its precipitous drop from $3.00.
He does warn, though, that the surge will be met with sell-side pressure, which might push ADA below $1.00. The analyst predicts that ADA in mid-late 2022 will break that loss this level’s lights out (1.00).
Cardano price is well under the pivot point at $1.41 and has broken under the first support level at $1.24 earlier in the session too. Traders need to watch the second support at $1.10 as a break under this can take ADA below the key $1 mark. The support is at $1.20 and the major resistance is at $1.35. However, a move upwards is not expected as there is no positive momentum.