A widely followed cryptocurrency analyst and trader is issuing a warning on altcoins.

The analyst pseudonymously known as Credible Crypto tells his 404,000 followers on the social media platform X that it is within the realm of possibility for Bitcoin (BTC) to fall by around 22% from the current level.

According to the analyst, a deep Bitcoin correction could have a catastrophic impact on altcoins.

“If BTC does start to gain momentum to the downside and does take its own lows into $53,000 – expect a pretty aggressive move down on altcoins across the board along with it.”

Source: Credible Crypto/X

Looking at the trader’s chart, he seems to suggest that Bitcoin’s latest rally has ended and that BTC is headed toward a significant pullback.

Bitcoin is trading at $67,759 at time of writing.

On how the altcoins will potentially react after the correction, Credible Crypto says,

“For some altcoins, this move down is likely just temporary before a strong recovery. For others, it may be the start of a more significant bleed down.”

The widely followed crypto analyst and trader says that if Bitcoin drops to his target, the development would present a “major opportunity” as he expects the flagship digital asset to eventually surge to a price of over $100,000.

The pseudonymous analyst and trader also says he’s more bearish on Ethereum (ETH) than Bitcoin.

“I’m much more confident in seeing ETH take its lows than I am in seeing BTC take its own lows into $53,000.

With the amount of weakness we are seeing on ETH right now, it’s certainly possible ETH sees new local lows (sub $2,800) while BTC makes a higher low.”

Ethereum is trading at $3,248 at time of writing.

Generated Image: DALLE3