A prominent figure in the cryptocurrency analysis sector has sounded the alarm for investors, cautioning that the value of Ethereum (ETH), a leading smart contract platform, could see a decline of as much as 26%.
The anonymous market expert, known as Credible Crypto, has shared with his substantial following of 402,300 on the social platform X that Ethereum might not have reached its market low point yet.
Credible Crypto has examined Ethereum’s open interest (OI) – a measure of the total unsettled derivative contracts for an asset – and suspects that it is still excessively high despite the recent drop in price on Thursday.
“In terms of OI measured in the currency of the coin itself, we observe that the anticipated significant reduction in positions hasn’t occurred. The OI has decreased in monetary terms simply because the price has fallen. The actual significant decrease in positions is expected to occur slightly lower. I would anticipate the bottom to be in the range of $2,200 to $2,700. Keep an eye out for that significant decrease in OI (measured in the currency of the coin) as we approach this area.”
Source: Credible Crypto/X
At the moment of writing, Ethereum’s trading price stands at $3,002, marking a decrease of over 4% in the past day.
Additionally, the analyst has issued a warning regarding the potential price drop of the memecoin Pepe (PEPE).
“PEPE appears to have finished its deviation at the upper end of its range and has now settled back within that range. It’s now aiming for the lower end of the range, and realistically, even lower… Some alternative coins are experiencing more severe impacts than others. For coins like PEPE, which have significant room to fall, the minimum downside targets are 30%-40% lower (the range lows for PEPE), with the possibility of a 60%-70% decrease before their broader corrections conclude (a breakdown from the range lows for PEPE). For other altcoins that have already been heavily sold off, a 30%-40% drop might be the maximum extent (or even less in certain cases).”
Source: Credible Crypto/X
Based on his analysis, the trader indicates that Pepe could fall below $0.00000400.
Currently, Pepe is valued at $0.000008656, having declined by 7.5% in the last 24 hours.
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