The meme token market has turned crypto trends upside down in recent weeks. PEPE, BEN, PSYOP, FOG, TINDER were among the prominent names. However, popular crypto analyst Nicholas Merten is warning of ‘severe bearish’ about this industry, which includes Dogecoin (DOGE).
Nicholas Merten points to impending danger for meme projects like Dogecoin
Merten’s warnings include that these tokens, which have rallied in recent weeks, will make a major correction. In a new video, the crypto analyst interpreted Dogecoin’s weakness in the recent rally as a distress signal. According to the analyst, this means that other meme tokens may be in danger.
Merten also pointed out that Dogecoin is quickly returning its recent gains. According to the crypto analyst, this also means that the rally is ‘fake’. Throughout the video, Merten has been exposed to fake, gambling, fraud, etc. Let’s say you use words.
Merten, who has 511,000 YouTube subscribers, says in his latest video titled “Bitcoin Is About to Make a Big Move”:
When Dogecoin, the biggest meme coin out there, didn’t even make a slight upward movement during this meme frenzy, what does that tell you? It’s up 3% last month, but all its gains have faded. If Dogecoin can’t stand it, what does it tell you about Pepe? What does it tell you about all these other memecoins doing well? It tells you it’s a fake trend, nothing major, nothing real, people backing it up with initial liquidity.
The right time to buy altcoins
Merten states that, as in the past, altcoins generally trend in losing value against Bitcoin (BTC) and the US dollar. As such, he goes on to emphasize that investors should really only trade altcoins in bull markets. According to their description:
Buying Dogecoins has been inconvenient since around April and May of 2021 when the market really peaked for altcoins. This was when there was real enthusiasm and just like previous cycles for Dogecoin, take a look at history if we take it, it’s a great indicator to go back and learn how trading altcoins is only advantageous when you’re really in a bull market and an altcoin cycle, and these come very rarely. More often than not, altcoins bleed not only against Bitcoin, but also against the dollar.
Elon Musk’s final warning to Dogecoin investors
Alongside Nicholas Merten’s bearish expectations, Elon Musk recently urged Dogecoin investors to be cautious. Recent comments from popular tech entrepreneur Elon Musk have led to some notable dips in the meme token market. Tesla CEO told DOGE investors that they should not invest their life savings in meme tokens. cryptocoin.comWe have included all the details of their explanations in this article.