Analyst Believes that Bitcoin and Solana are Forming a Bear Trap

A closely followed analyst has outlined the potential path for Bitcoin (BTC), Solana (SOL) and other crypto assets. The analyst, known as InvestAnswers, told his 563,000 subscribers on YouTube that Bitcoin, Solana, and other crypto assets are currently in a classic bear trap.

A bear trap is a situation where a decline is interpreted as the beginning of a bearish trend, while in reality, the development is temporary and will turn upwards again. The analyst stated the following:

“I think we are still in a bull market. I am 95% sure that we are still in the bull market. But this bear trap is designed to knock you out. Don’t go away. Stay right now, ladies and gentlemen.”

According to InvestAnswers, a bullish reversal pattern has been formed by Bitcoin:

“[Bitcoin has] been wandering around this area [around $82,000] for seven or eight days. It’s a classic double bottom, exactly what I like to see.”

At the time of writing, Bitcoin is trading at $81,602. About Solana, the analyst said that the sixth largest crypto asset by market capitalization is currently drastically undervalued. He stated:

“A few weeks ago, I made a mathematical model – if Solana were valued the same way as Bitcoin, based on users, revenue, adoption, transactions, etc., the market capitalization would be $24 trillion.
Bitcoin is at $2 trillion. So it would be 12 times more valuable than Bitcoin. And I know that Bitcoin is a store of value and so on, but this puts things into perspective. Quality always rises to the top. We just don’t know when yet.”

At the time of writing, Solana is trading at a price of $125.