After performing poorly for the first two weeks following the approval of the Bitcoin spot ETF, the cryptocurrency market started to improve on January 27.
Although there is some positive news for cryptocurrency investors, experts advise against trading four particular cryptocurrencies next week. Currently, investing in these four is riskier than in other cryptocurrencies.
In this case, investors would be better served by avoiding high-risk ventures in order to safeguard themselves in an already volatile and erratic market. It could be wiser to hold off on trading these cryptocurrencies until conditions are more apparent.
In particular, Ruby Currency believes that trading UMA (UMA), Dusk (DUSK), Terra Classic (LUNC), and Terra (LUNA) should be avoided next week.
UMA (UMA)
Based on their Relative Strength Index (RSI), just two cryptocurrencies are currently showing too many buyers relative to sellers on CoinGlass’s 24-hour heatmap. Among them is UMA, which is currently valued at $5.41 and is a blockchain similar to Chainlink (LINK).
On the final day, UMA increased by 15.7%, placing it in the overbought area. It is overbought, as indicated by its weekly RSI of 86.21 points and 24-hour RSI of 74.62 points.
Dusk – (DUSK)
Second, CoinGlass reports that Dusk appears overpriced during all three of the time periods they are observing, with an RSI (Relative Strength Index) of roughly 76 points. The low-value coin had a 14.67% increase in value over the previous day, trading at $0.27. It may soon need to see a price decrease.
Best NO KYC Crypto Exchanges (Updated List)
Best Crypto Exchange For Day Trading: Top 5 BEST Crypto Trading Platforms
Cryptocurrency TAX Lawyer Explains: How to LEGALLY Avoid Crypto Taxes
Cryptocurrency News: ”Shiba: Shiba Inu Coin Fresh Pump 2024
Next week, avoid trading the cryptocurrencies LUNC and LUNA.
Because Terra Classic and Terra have been down since December 2023 and the RSI indicator is displaying weak momentum, traders should, for the time being, avoid trading Terra or Terra Classic.
LUNC’s total worth dropped by $1 billion in less than two months. Investors were alarmed by Terraform Labs’ bankruptcy filing on Sunday because of associated assets.
It’s crucial to understand, though, that the volatility of the bitcoin market may work to their advantage. These cryptocurrencies may appreciate in value even in unpredictable markets if they gain sufficient traction. To succeed, investors should do their homework and make informed decisions.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
