money.nikaniku.com – Investors need to be vigilant, this crypto row has the potential to weaken in early July 2022.
The crypto market is still stagnant and not enthusiastic starting July 2022. The decline in crypto prices to date is still influenced by various negative sentiments from economic uncertainty and problems in the industry.
Even though it occasionally strengthens, it is thin, but according to Tokocrypto Trader, Afid Sugiono, the strengthening in the crypto market cannot last long.
“The movement of the crypto market is still in the bear market phase. So, this strengthening is not predicted to last long,” said Afid in a written statement quoted on Sunday (3/7/2022).
In the midst of uncertain market conditions, Afid provided several crypto assets that have the potential to weaken throughout early July 2022. The crypto coins are as follows:
1. Harmony (ONE)
Last week, Harmony (ONE) was listed as a potential bullish crypto asset, but this week it looks like it’s about to turn around. Afid explained that ONE’s positive sentiment had ended as a result of the news that Horizon Bridge on the Harmony Protocol network was hacked, with a loss of around USD 100 million or more than IDR 1 trillion.
“The negative sentiment that hit Harmony Protocol made some investors worried. As a result, the price movement of ONE in the next few days is likely to continue to decline, causing a bigger selling action,” said Afid.
2. Lido DAO (LDO)
LDO, the governance token on the Lido DAO network, is still “comfortably” sitting on the list of potentially bearish crypto assets this week. The decline in the value of the LDO this time was still triggered by the chaos of Lido who proposed a new governance scheme.
After four days of voting, the Lido community appears ready to reject calls to limit its own growth. As many as 99 percent of the votes cast were in favor of Lido limiting its holdings in Ethereum.
3. SuperRare (RARE)
SuperRare is an NFT platform that connects digital artwork with a token. Once the NFT is on SuperRare, the digital work can be bought, sold or even used as a long-term investment. The RARE token is used as a utility on the SuperRare platform.
Afid sees the RARE movement from his technical analysis most likely will experience a price decline this week.
“Technical analysis sees there will be a 21 percent decline from the current price in the range of USD 0.240 to USD 0.189,” said Afid.
4. Hive (HIVE)
Just like RARE, HIVE also entered the bear list again this week. Afid saw the potential to continue to decline. Even more so than last week’s decline which was around 10 percent.
“HIV has the potential to continue to decline. From the chart, it forms a reserve cup and handle pattern as a bearish signal. It might consolidate a bit first, but there will be a decline of around 35 percent to the price of USD 0.4471 from USD 0.6718,” said Afid.
5. Stratic (STRAX)
Stratis is a blockchain-as-a-service platform that offers multiple products and services for enterprises, including launching private sidechains, running full nodes, developing and deploying smart contracts, an initial coin offering platform, and proof of identity applications. The company also provides crypto wallets and blockchain consulting services.
STRAX is a token that is used to buy and operate services such as executing smart contracts, paying sidechains and more. Afid explained that the STRAX value could decrease by up to 28 percent.
Crypto Prices Slowly Stable Amid Negative Sentiment
Previously, although it tended to be flat, the crypto market was slowly heading to a more stable area amidst various negative sentiments that had suppressed the crypto market recently.
Bitcoin, which often drives the crypto market, moved sideways in the price range between USD 19,958 or around Rp. 298.8 million to USD 21,700 (Rp. 324.9 million) and experienced a correction of 0.73 percent this week.
Despite the correction, the current bitcoin price has increased by almost 18 percent compared to its lowest correction point two weeks ago which had fallen to USD 17,744.
Research Analyst Zipmex Indonesia, Muwaffiqol Fahmi, explained that the Realized HODL Ratio (RHODL) chart has moved closer to the green zone following the undervalued Bitcoin price.
The RHOLD Ratio itself is a compositional ratio between the number of short-term investors and long-term investors. When referring to the correction cycle in 2018, RHODL took almost a year to reach the green zone since the price correction occurred for the first time in the first quarter of 2018.
“Currently, even though the correction cycle has only been running for approximately eight months, RHODL is getting closer to its green zone. If this trend continues to the bottom area, it is very likely that the period of silence followed by a bull cycle will arrive sooner than the previous cycle,” said Fahmi. in a press release quoted on Sunday, July 3, 2022.
Three Arrows Capital Sentiment Shadows
Nevertheless, issues related to the crypto company Three Arrows Capital (3AC) still haunt market conditions.
One of the world’s largest crypto asset-focused hedge funds is said to be insolvent and has received a default alert from Voyager Digital, where 3AC is listed as having a debt of USD 670 million that was not paid on time.
“The financial issues that hit 3AC were further proven by the decision from law enforcement in the British Virgin Islands to liquidate 3AC on 27 June,” said Fahmi.
Regardless of the current market conditions, Fahmi said this is a rare moment that investors can take advantage of to review which crypto assets have the greatest growth potential, considering that the blockchain ecosystem is still in a growth phase.
“We can see how big the growth potential of these crypto assets is based on how high the level of adoption is in the market. Currently, there are also innovative blockchain projects that have completed the basic infrastructure development and have been proven to have a product market fit and are ready to develop a bigger market,” said Fahmi.
“Some of them even become first movers in quite niche sectors. These potential assets have an active and supportive community and continue the research and development process despite the depressed market conditions,” he concluded.