Engaging in investments and trading within the cryptocurrency realm is undeniably precarious due to its ongoing status as an experimental financial domain. In order to guide investors away from significant losses, experts at Finbold have meticulously scrutinized a medley of technical analysis indicators and foundational data pertaining to specific digital assets. Their aim is to identify those tokens that should be approached with caution, if not completely avoided, in the upcoming week.
1. Pepe ( $PEPE )
Pepe (PEPE) is a meme-inspired token that has found itself atop Finbold's list of cryptocurrencies to be wary of since August 28th. During this interval, it has experienced a staggering decline in market capitalization, plummeting by over $100 million. Its value dwindled to a mere $0.00006 on September 21st. The core factors underpinning Pepe's prior inclusion on the blacklist continue to loom large. However, it has recently ascended the ranks as one of the best-performing cryptocurrencies in terms of daily and weekly gains. Over the past 24 hours, it has surged by 10%, while over the past week, it has skyrocketed by a remarkable 30%. This surge may draw fresh capital into the market in the short term, but the prevailing odds suggest that the prior descending trajectory may resurface.
2. Bluzelle ( $BLZ )
Bluzelle (BLZ) functions as a decentralized data storage network catering to the content creator economy. Notably, the token's price has been significantly swayed by the market-making maneuvers of DWF Labs, as discerned from data compiled by the SpotOnChain analytics platform. BLZ's valuation exhibits a heightened susceptibility to the buying and selling activities orchestrated by DWF. This heightened susceptibility amplifies the risk profile for retail investors. Furthermore, the Relative Strength Index (RSI), as derived from Coinglass data, flags Bluzelle as an overbought cryptocurrency when measured over a weekly time frame. Isolated as a standalone indicator, this RSI reading hints at a prospective price correction for BLZ in the imminent future. Worth mentioning is that Tron (TRX), THORchain (Rune), LeverFi (Lever), and Aragon (ANT) also fall within the overbought classification, hence prompting a prudent approach and a comprehensive analytical evaluation from potential investors.
3. Mixin ( #XIN )
In the initial days of this week, Mixin Network (XIN), a database of a cloud service provider, encountered a malicious hacking incident. This breach resulted in the forfeiture of digital assets surpassing $200 million in value. The ensuing erosion of investor trust has precipitated a decline in XIN's token valuation by more than 25% over the past week. Despite the Mixin team's assertion that the actual damages were lower than initially feared, select users continue to caution traders against utilizing the network for either transactions or price maintenance on various social media platforms. Collectively, these factors position XIN as the third cryptocurrency to be leery of acquiring in the forthcoming week.
Disclaimer: Investing in cryptocurrencies carries inherent risks. The provided information is for informative purposes only. It is strongly advised that readers perform their due diligence and seek advice from professionals before making investment decisions.