A prominent analyst is predicting a new bull run for smart contract platform Solana and says a low-cap altcoin is bracing for a massive supply shock.
The analyst known in the industry as Credible, told his 251,900 Twitter followers that he expects Solana (SOL) to trigger a major rally after a breakout above the consolidation pattern. its most in weeks.
“SOL is leading the market and looks like it has completed wave 4 as a triangle. This implies that SOL has started the 5th and final wave of its first macro cycle. This is going to be epic and a taste of what we’ll see in the coming months. Expect $500+”.
The analyst relies on Elliott Wave theory, a method of technical analysis that predicts future price action by analyzing crowd sentiment through each wave.
He is also closely monitoring Curve (CRV), the governance token of stablecoin-focused decentralized exchange, Curve Finance. According to Credible, he expects CRV to rally to $6.50 in the near term once it has broken through the critical resistance at $3.50.
“CRV joins forces with CVX (Convex Finance). I can’t explain the mechanism in a tweet – but as CVX goes up it increases the inherent value of the CRV and as the CRV goes up it increases the inherent value of the CVX.”
Convex Finance is a platform built to add rewards to Stake users or provide liquidity to CRV. At the time of writing, CRV is trading at $3.7 while CVX is trading at $19.61, according to CoinGecko.
Credible says he’s bullish on Curve as nearly 90% of its supply is locked in the coming years.
“Oh, 89% of CRVs in circulation are locked for about 3.7 years. So there will be a big supply shock and when it breaks out, it will increase very quickly and strongly. Own the token before it all starts… Yes, locking creates voting rights and it is used to increase the yield on other protocols, which will increase the demand for CRV.”
- Source: Credible -