- The widely followed crypto analyst Crypto Capo suggested that altcoin markets could collapse.
- According to the crypto expert, Cardano (ADA) is clearly bearish.
The popular crypto strategist Crypto Capo said he is not yet optimistic about most altcoins, noting that 99% of them show signs of an imminent collapse.
Speaking on Twitter the day before yesterday, the crypto trader looked back on the recent upswing in crypto markets at the start of the new month. Market leader Bitcoin briefly topped $43,000 and, as expected, several altcoins followed the move higher.
However, the pseudonymous investor warned that, while altcoins are seeing a market rise, the rally could be short-lived and potentially lure investors into a bullish trap.
“Some people may think I’m biased to the downside. Later I will post many examples of altcoins that make corrective upward moves after breaking key supports,” he said.
ADA is the clearest example, but SOL, WAVES and COTI are also involved
Specifically, Capo singled out Cardano (ADA), Solana (SOL), Waves (WAVES) and Coti (COTI) as tokens that illustrate why he is bearish on altcoins. The crypto analyst explained that ADA, for example, is showing a clear rejection. 
ADA/USD trading chart. Source: CryptoCapo
“One of the clearest: ADA.”
Additionally, Crypto Capo showed that SOL failed to reclaim resistance near $120 and is currently approaching the end of its market bounce.
SOL/USD trading chart. Source: CryptoCapo
For COTI, the token of the decentralized payments platform Coti, Capo noted strong resistance around $0.24. He also believes that the resurgence in Waves (WAVES) and Hathor (HTR) will likely end soon.
WAVE/USD trading chart. Source: CryptoCapo
Capo asserted that most altcoin markets are primed for a slowdown that could occur in the near term. He emphasized that the listed coins are only examples reflecting a broader bearish sentiment present across nearly all altcoin markets.
“These are just a few examples, but 99% of altcoins look like this. I can’t be bullish here after the breakup of the entire market’s bullish structure plus the corrective upward moves. You can take advantage of short-lived pumps while they last, but don’t get too comfortable. Time will tell.”