Pseudonymous analyst Smart Contracter tells his 216,900 Twitter followers that he thinks the multi-year uptrend of Binance Coin against Bitcoin (BNB/BTC) has reached its conclusion.
“I think the five-year uptrend in BNB/BTC has come to an end. In my opinion, it comes down at minimum another 40-50% from here.”
Smart Contracter relies on Elliott Wave theory, a technical analysis approach that attempts to predict future price action by following crowd psychology which tends to manifest in waves. Looking at the analyst’s chart, it appears that BNB/BTC has completed the theory’s five-wave cycle and looks poised for a reversal toward the 0.618 Fibonacci level at 0.007378 BTC ($123.33).
At time of writing, BNB/BTC is changing hands for 0.014369 BTC ($240.19).
According to the crypto strategist, the chart of BNB/BTC looks similar to the price action of Terra (LUNA) prior to its implosion in May.
Looking at BNB against the US dollar, the crypto analyst predicts a massive devaluation of over 66% for Binance Coin after it broke key diagonal support.
“If I had to guess, USD pair is heading to between $80-$100.”
At time of writing, BNB is trading at $240, up over 5% in the last 24 hours.
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.
Featured Image: Shutterstock/betibup33