Former top Bitfinex trader Joe007 is warning against buying altcoins waiting for “parabolic advances” and being early on trends.
On Twitter, Joe007 suggested that parabolic advances on several cryptoassets have already occurred and traders shouldn’t jump in on trends expecting to still be early on them, pointing out BTC, ETH, and DOGE already saw their prices skyrocket this cycle.
Over several tweets published before, he criticized the Dogecoin price rally, noting that at one point the cryptocurrency had an $85 billion market capitalization. Its capitalization was then bigger than that of financial giants such as Santander, Deutsche Bank, and Barclays.
The cryptocurrency’s price has dropped from an all-time high near $0.80 earlier this month, but its market capitalization is still at $71 billion. At press time, it’s currently trading at $0.54 after surging over 30% in the last 24-hour period, after Tesla CEO Elon Musk tweeted out Tesla is “working with Dogecoin developers to improve system transaction efficiency.”
Joe007 has also seemingly warned against an impending market correction that could see altcoin traders lose most of the value of their investments. Per his words, if they retain 10% of the net worth they would currently have if they sold their holdings, they would be “extremely lucky.”
It’s worth noting Joe007 has last year criticized bullish bitcoin price predictions when the flagship cryptocurrency was trading at around $9,000. Over the following months, it started surging, hitting a new $61,000 all-time high earlier this year before correcting.
Bitcoin is now trading at $51,000. Joe007 criticized price predictions based on analysis made by anonymous individuals and poor companions, at one point claiming that the estimated global derivatives notional value is of $1 quadrillion and compared it to BTC’s market cap, saying this is “how false narratives are created.”
He added that “comparing irrelevant metric such as notional value to other doubtful metric such as coin market cap conjures illusion of inevitable appreciation out of thin air.” The trader also said Uniswap’s UNI token was overvalued in September of last year when it was below $5, it’s now trading above $40.
The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, or other advice. Investing in or trading cryptoassets comes with a risk of financial loss.
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