Altcoin Sherpa Predicts 30-50% Correction If Bitcoin Fails To Break Resistance

A widely followed trader has expressed optimism about a layer-1 decentralized exchange (DEX) altcoin, Hyperliquid (HYPE), predicting that it is set for a rally to new all-time highs. The trader, known as Altcoin Sherpa, shared his analysis with his 248,500 followers on the social media platform X. According to Altcoin Sherpa, HYPE is currently consolidating near its highs and is expected to ignite a fresh leg up, potentially reaching $50 or more, even in the current volatile market conditions. At the time of writing, HYPE was trading at $40.44.

However, the trader has a bearish outlook on two Solana (SOL)-based memecoins, dogwifhat (WIF) and Popcat (POPCAT). Altcoin Sherpa noted that both WIF and POPCAT are in a downtrend and could drop to significantly lower levels if Bitcoin (BTC) fails to achieve new all-time highs. The trader's chart analysis suggests that POPCAT could fall to as low as $0.22, while WIF might plunge to $0.60. At the time of writing, POPCAT was trading at $0.31, and WIF was at $0.839.

The trader's analysis highlights the potential for a 30-50% correction in the altcoin market if BTC does not break through its current resistance levels. This warning underscores the importance of monitoring BTC's performance, as it often sets the tone for the broader cryptocurrency market. The trader's insights provide a cautious outlook for investors, emphasizing the need for vigilance and strategic decision-making in the face of market volatility.