Analyst: Chest Coins Gave the Signal, Investors Should Consider This!

Recently, some chest coins have dazzled with their performances in the market. According to DeFi analyst Stacy Muur, this increase in the popularity of chest coins is a negative sign for the market. Because Muur thinks this could signal the end of the current crypto bull run. Following Messari’s chest coins investment research, Muur thinks investors should consider securing their profits.

Stacy Muur: Chest coins send a valuable signal to investors!

Messari’s analysis reveals a pattern in crypto markets that typically begins with large investments in crypto infrastructure projects. Based on this, Stacy Muur makes the following assessment:

This makes sense: Crypto bull markets often start with BTC or smart contract platforms due to factors such as liquidity, risk-reward profiles, and technological breakthroughs. These assets attract speculation and development by signaling that “crypto is not dead.”

The investment trend then shifts towards more volatile assets such as chest coins, which are known for their potential quick profits. However, Muur says chest coins are often the first assets to fall. He also warns that it marks the end of a speculative wave in the crypto spectrum.

Comparison of Meme Coin Cycle with Crypto Infrastructure Projects. Source: Messari

Analyst: Stop when chest coins fall beyond a threshold!

Currently, Muur notes that the decline in breast coin activity indicates a decrease in transaction volume on platforms such as pump.fun that support the creation and trading of these assets. In this context, the analyst makes the following statement:

In their research, Messari recommends the following investment framework based on this model: Buy chest coins when classic DeFi/crypto plays start to rise. Subsequently, liquidate the entire portfolio and freeze trading when chest coins fall beyond a threshold.

There are also those who oppose the analyst’s thesis, but…

Muur’s thesis sparked controversy among his followers. A number of critics in the X thread argue that the current cycle is different from the past. In this regard, an X user said, “The framework of this entire thesis is wrong. Unlike the past, chest coins were the first to pump this cycle. We are now entering a higher liquidity cycle with interest rate cuts. “We’re nowhere near the top,” he says. Other analysts share the same suspicion. But this month, one analyst pointed to three top signals in the market:

  • Celebrity endorsement chest coins.
  • Increase in new chest coins.
  • PnL screenshots are flooding social media.

cryptokoin.com As you follow from , celebrity participation in breast coins is increasing, with names such as Caitlyn Jenner, Iggy Azalea and Andrew Tate launching their tokens. This mirrors past market peaks in 2017 and 2021. In addition, the creation of more than one million new chest coins in April alone indicates much market speculation. This, combined with the widespread sharing of PnL screenshots, suggests the market may be approaching an inflection point.

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