Crypto analyst Michaël van de Poppe says that Cardano (ADA), Chainlink (LINK) and three other altcoins offer some of the most attractive risk-reward ratios as the crypto markets continue to correct.
In a new strategy session, Michaël van de Poppe tells his 165,000 YouTube subscribers that Cardano‘s area of interest is somewhere in the $0.70 range, with the potential for rallying to his target above $1.00.
“We’re currently on a block of interest that has to hold here, so we ultimately are looking for such a scenario (move above $1.00) that we just bottom out to. If that doesn’t happen, I’m looking at the next level around $0.38, but these two are the ones that I’ll be looking at if you want to get into Cardano for trading or investing.”
Looking at decentralized oracle network Chainlink, Van de Poppe says that LINK is currently in a position that can potentially generate favorable returns to long-term investors.
“If you start a thesis of a). ‘I want to include Chainlink in my portfolio, and I want to start accumulating that from here all the way towards $7,” averaging, you get that for $9, and the all-time high is $52. If the downwards risk is approximately 30% to 50%, the upside potential is at least a 500%. I think it’s always a plus if the project is fundamentally still doing well.”
The crypto trader is also watching CRV, the governance token of stablecoin-focused decentralized exchange (DEX) Curve Finance. According to Van de Poppe, CRV must hold its immediate support at $1.93 to generate sufficient bullish momentum for a strong breakout.
“As long as we stay above there ($1.93), it seems likely that we’re going to continue moving and if we have another higher low taking place here approximately around $2.20, the chances are that we’re going to crack these ($3.00), and then we are looking at a test at $3.50 and potentially have continuation in which we are eager to crack these highs here ($6.00).”
Next up is SKALE (SKL), a blockchain network that allows developers to create and provide decentralized chains that are completely compatible with Ethereum. Van de Poppe says SKL can potentially ignite a 5x rally if bulls manage to recover a key price area.
“If we get into this region between $0.10 to approximately $0.13, the investment thesis starts to build up here as the chances are that when we are getting a run again, we take out this high ($0.30) and most likely start taking out these too ($0.40) focusing on a new run to $0.60. If you look at that, the ultimate thesis and the ultimate outlook is going to bring you a run of 400%.”
The last coin on the trader’s radar is supply-chain management protocol VeChain (VET). Van de Poppe says he sees VET carving out a bottom below $0.039.
“We can see that we are having corrections here all the way, but we are making less heavy downwards lower lows in which ultimately, the result could be that we are finishing off this correction anyway in this region as there are so many higher time frame support zones. If we are getting any of these scenarios, the most likely next run is going to bring us towards either $0.15 or $0.12.”
I
Check Price Action
Don’t Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox
Follow us on Twitter, Facebook and Telegram
Surf The Daily Hodl Mix
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/Design Projects/Natchapol18