Crypto analyst Jackis has raised concerns over the future of Kaspa (KAS) and Bitcoin (BTC), citing bearish trends in both assets. In a tweet, Jackis highlighted Kaspa’s underperformance compared to Bitcoin, pointing out key technical patterns that indicate a potential drop in price for both assets.
The tweet and chart analysis suggest that while Bitcoin is expected to decline, Kaspa may experience a much steeper drop.
Kaspa’s Descending Trend and Bearish Forecast
According to Jackis’ chart, Kaspa has consistently made lower lows (LL) and lower highs (LH) since October 2023. This trend, seen in a descending channel pattern, suggests that Kaspa has been on a prolonged downward trajectory.
I honestly don't know what all the fuzz is about with #KASPAIt has clearly been underperforming #Bitcoin this entire time since both October 23 & March 24 making LLs & LHs while #BTC was doing HLs & HHsWhen this re-accumulation ends & both break down way lower, $KAS will… pic.twitter.com/bU70dbvyD3
— JACKIS (@i_am_jackis) September 24, 2024
Jackis emphasized that the recent upward price movement in August, which he referred to as a “complacency shoulder,” was likely a temporary spike rather than a sign of a bullish reversal.
He warned that this upward movement could be part of a larger price manipulation, designed to attract buyers before another drop. The analyst’s chart further shows KAS’s bearish outlook with a forecasted downward arrow, indicating that the token’s trend is unlikely to reverse soon.
With liquidity taken above the recent high, Jackis believes Kaspa is primed for another substantial decline.
Bitcoin’s Comparative Performance
While Bitcoin is also experiencing a bearish trend, Jackis noted that it has outperformed Kaspa. Bitcoin’s price has been forming higher lows (HL) and highs (HH), contrasting Kaspa’s lower lows and highs.
This suggests that, despite a declining trend, Bitcoin has shown relatively more resilience in its price movement. Jackis predicts that Bitcoin will also face a downturn, though the decline is expected to be less severe than Kaspa’s.
The chart shared by the analyst indicates that Bitcoin could be forming a descending broadening wedge, a pattern that often leads to a bullish reversal but can continue the downward trend until a breakout occurs.
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Re-accumulation and Market Liquidity
In his tweet, Jackis mentioned that both cryptocurrencies appear to be in a re-accumulation phase. However, he believes that once this phase ends, both assets are likely to break down to lower levels.
He also pointed to key liquidity being taken during Kaspa’s August pump, describing it as a “scam pump,” further supporting his bearish outlook.
The tweet suggests that this liquidity grab was part of a market manipulation strategy, with Kaspa set for a more aggressive downturn than Bitcoin. Jackis recommended selling Kaspa due to its huge downside potential.
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The post Analyst Warns of Kaspa’s Downside Potential, Says Bitcoin (BTC) Has Outperformed KAS Amid Bearish Trend appeared first on CaptainAltcoin.