Cryptocurrency investors are witnessing significant market fluctuations this week, leading many to reassess their portfolios and identify altcoins to sell. The market’s instability has dampened sentiment, as altcoins struggle to gain traction. Here’s an in-depth look at three altcoins that might be worth offloading during this volatile period.
Market Overview: Altcoins Struggle to Rebound
Altcoins have been moving sideways after a brief attempt at a rebound. Mid-week trading shows bulls repositioning, but overall sentiment remains low following a series of losses. Last week’s sharp declines saw the total cryptocurrency market cap fall to its lowest point in a month, dropping from over $2.6 trillion to $2.26 trillion.
The downturn was triggered by macroeconomic factors that led to significant exits from Bitcoin, subsequently causing a sell-off in altcoins and meme coins. Here are three altcoins that traders might consider selling this week.
Ripple (XRP): Struggling to Recover
Ripple (XRP) is currently down 0.66%, trading at $0.4678 with a market cap of $26 billion. Despite minor gains in the broader market, XRP has shown a slow recovery over the past 24 hours. Weekly performance has seen a 6% decline, while monthly exits are in double digits. Additionally, overall trading volumes have decreased to $887 million. Given its lackluster performance and slow recovery, XRP is a candidate for selling.
Polygon (MATIC): Continued Downward Trajectory
Polygon (MATIC) has also been on a downward trend, trading at $0.5522, a 0.44% decline in the last 24 hours. Like Ripple, MATIC has shown limited signs of a rebound, with significant drops in trading volumes. Daily trading volumes have fallen to $183 million, and monthly figures have declined by 23%, erasing substantial previous gains. The sustained downward trend and weak recovery signals suggest that MATIC might be worth offloading.
Shiba Inu: Meme Coin Volatility
Meme coins like Shiba Inu have been particularly affected by the recent market decline due to their inherent price volatility. Shiba Inu is down 2% in the last 24 hours, trading at $0.00001713. Weekly outflows have dampened bullish activity, and daily volumes have dropped to $190 million, a 36% decrease. The significant drop in trading volumes and ongoing volatility make Shiba Inu another altcoin to consider selling.
Conclusion: Strategic Repositioning in a Volatile Market
Investing in cryptocurrencies during times of market volatility requires careful consideration and strategic repositioning. Ripple, Polygon, and Shiba Inu have all shown significant weaknesses in recent trading, making them potential candidates for selling. As the market continues to fluctuate, traders must stay informed and make decisions based on both technical indicators and market trends to navigate these challenging times.