A widely followed cryptoanalyst is issuing a warning to investors about an altcoin that has surged over 330% since August.
The pseudonymous trader known as Crypto Capo says his 510,000 Twitter followers that he thinks Terra Luna Classic (LUNC), the rebranded version of stablecoin issuer Terra (LUNA), is bad news and that investors should stay away from it.
“How many people do you think are falling for the LUNC scam again?
My advice: stay away from it.”
LUNA crashed in May after its stablecoin was decoupled from the US dollar, causing its price to lose over 99.9% of its value. According to Capo̵[ads1]7;s charts, LUNC is due for a massive crash in the coming days.
The crypto-asset is currently trading at $0.000439 at the time of writing, down 16.46% on the day but up a massive 337% since the beginning of August.
The analyst goes on to provide a bearish outlook for a handful of digital assets, including Bitcoin (BTC).
Capo tracks that the top crypto asset by market cap will climb to $22,500 to $23,000 after gaining support near $19,600.
“We got the second bullish confirmation with a $19,600 retracement with strong volume.
The price is at resistance now and may go back a bit, but in my opinion it will go higher during these days, to the main target of $22,500-$23,000.”
The analyst’s chart indicates that he believes the royal crypt will dip into the “buy zone” of $14,000 to $16,000 sometime in October.
Bitcoin is currently trading at $21,290, a gain of 9.8% on the day.
Capo also has its eyes on smart contract platform Cardano (ADA). His analysis shows that Cardano will rise to around $0.55 before diving to the $0.35 range in mid-September.
Cardano is currently valued at $0.52, up over 7% in the last 24 hours.
The analyst too notes that top altcoin Ethereum (ETH) will follow a similar pattern. His charts indicate that the leading smart contract platform will rise to $1,800 before falling into the $1,350 range.
“[Stop/loss] was triggered at breakeven. To enter this trade again with a better one [risk ratio]. Same target ($1800).”
ETH is changing hands for $1,717 at the time of writing.
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Featured image: Shutterstock/Leszek Glasner/Sensvector