A renowned crypto trader, DonAlt, has issued a warning to investors, predicting the imminent collapse of memecoins.
Memecoin Collapse
DonAlt believes that memecoins, such as those featuring dog or cat motifs, are on the verge of a massive sell-off. He warns that these projects could experience a “giga rug” (a large-scale scam).
Specific Targets
DonAlt singled out two specific memecoins:
- Pepe (PEPE): If it fails to hold above $0.00000998, DonAlt expects a sharp decline to its range low.
- dogwifhat (WIF): If it fails to break above $3.15, DonAlt predicts a drop to its range low of $2.23.
Reasons for Bearishness
DonAlt cites several reasons for his bearish outlook on memecoins:
- The proliferation of countless memecoins
- The misguided belief that memecoins are part of the “GME-meme rotation”
- Deteriorating chart patterns
- Excessive bullish sentiment
Conclusion
DonAlt urges investors to exercise caution with memecoins, warning that their portfolios could suffer significant losses if the market turns against them.
