Solana's Upward Trajectory Could Be Short-Lived, Analyst Warns: 'Slowly Scale In'
Benzinga
Published Sep 18, 2023 18:05
Updated Sep 18, 2023 19:10
Solana's Upward Trajectory Could Be Short-Lived, Analyst Warns: 'Slowly Scale In'
Benzinga - by Murtuza Merchant, Benzinga Staff Writer.
Pseudonymous crypto analyst Altcoin Sherpa expressed concerns over Solana's (CRYPTO: SOL) current upward trajectory.
In a series of tweets, the trader warned of a potential sell-off, suggesting that the cryptocurrency might take some time to establish a solid bottom.
This insight comes at a crucial juncture in the digital asset landscape, emphasizing the importance of understanding market dynamics. Such topics are set to be at the forefront of discussions at Benzinga's Future of Digital Assets conference on Nov. 14, where industry experts will delve into the latest trends and challenges in the crypto realm.
Altcoin Sherpa's tweets highlighted the recurring pattern of rallies over the past few weeks, each resulting in a subsequent lower high.
While the analyst acknowledged the appeal of accumulating SOL at prices below $20 for long-term investors, he also cautioned about the potential impact of the large supply on the market in the coming months.
He advised those interested in SOL to "slowly scale in and hold it for 2024+."
Read Next: Crypto Firms Mislead Public With 'Bank' Claims, Hong Kong Central Bank Warns
In a related tweet, Chris Burniske, a partner at the crypto-focused venture capital firm Placeholder, offered a different perspective.
He pointed out that only approximately 13% of FTX's SOL holdings are liquid, implying that the situation might not be as dire as some believe.
Burniske further commented on the inherent flaws in every entity, be it humans, institutions, or coins.
Drawing parallels with Ethereum (CRYPTO: ETH) and Bitcoin (CRYPTO: BTC), both of which have faced challenges yet achieved new all-time highs, he emphasized the resilience inherent in many entities, despite their flaws.
Read Next: Why FTX's Token Sale Is A Non-Issue For Crypto Stability: Coinbase Explains
Meet and engage with transformative Digital Asset and Crypto business leaders and investors at Benzinga's exclusive event - Future of Digital Assets. Tickets are flying- get yours!
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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