The cryptocurrency market is gearing up for a rally as the Federal Reserve cut interest rates by 50 basis points on September 18. However, some of the top altcoins have already surged in anticipation of the rate cut. Therefore, investors should consider selling these 5 cryptocurrencies to avoid losses.
5 Cryptocurrencies to Sell After the Fed Cuts Rates by 50 Basis Points
These five cryptocurrency tokens gave sell signals after the Federal Reserve (FOMC) meeting on September 18. Investors would be better off selling these tokens now to avoid losses.
RENDER
Polygon Ecosystem Token (POL)
Uniswap（UNI）
Optimistic (OP)
BABYDOGE
Make
Render’s price has surged nearly 20% since September 6. The upward trend is a common theme among altcoins in anticipation of the Federal Reserve’s interest rate decision on September 18. As of September 19, Santiment data shows that RENDER’s daily active addresses have dropped 66% after peaking on September 13.
The cryptocurrency could be sold off after the Federal Reserve cuts interest rates and the hype around OpenAI’s new model fades.
Polygon
Polygon's recent migration and rebranding from MATIC to POL attracted a lot of attention, but the hype seems to be over, so investors need to consider keeping a close eye on POL. Since the rebranding, the supply on exchanges has increased significantly, while top holders continue to sell. This development shows a clear loss of interest from whales and may be a sign of a price pullback for MATIC.
The third altcoin to be sold off following the Fed’s 50 bps rate cut was Uniswap. Despite rumors of a possible fee swap proposal during the v4 upgrade, investors should avoid holding UNI for one reason only — it is 100% unlocked. With all tokens circulating on the market, the cryptocurrency will face high selling pressure, which could affect the short-term outlook for UNI’s price.
optimism
Optimism was once considered one of the leading Layer 2 scaling solutions for Ethereum, but it has faded from the spotlight since 2024. Optimism’s network growth hovers around 500, having fallen five-fold from its peak of 2,500.
The network growth metric is used to measure new users joining the Optimism blockchain. A spike in this metric suggests that new capital is flowing in and investors are interested in the underlying token at current price levels. However, for OP, the opposite is true as network growth is declining. Therefore, OP may face further selling pressure in the future.
Baby Dogecoin
After its recent listing on Binance, the top meme coin surged 130% and is holding up well. Typically, rallies based on exchange listings tend to be short-lived and lead to full reversals. However, BABYDOGE is showing strength, but investors must keep an eye out for weakness. If buying pressure runs out, investors should expect this cryptocurrency to drop nearly 40% to the critical support level of $0.00000000132.
These five cryptocurrencies could see a strong reversal due to the sell signal and the Federal Reserve’s rate cut on September 18. Therefore, investors should consider selling these altcoins to avoid losses.
$BTC
