Altcoins
4 altcoins to avoid at all costs according to experts
Sun May 19, 2024 ▪ 3 min reading ▪ by Luc Jose A.
The altcoin market value has surpassed the impressive $276 billion mark, driven by Bitcoin’s rise past $66,000. In response to this surge, investors are turning to altcoins, hoping to capitalize on potential gains. However, CryptoBullet, a renowned crypto analyst, advises caution. He warns against blind investments in altcoins despite the ambient euphoria. He emphasizes that the market, although rising, is not immune to possible corrections. According to him, altcoins stuck between the 0.382 and 0.236 Fibonacci levels may struggle to surpass their 2021 all-time highs.
Polkadot and Filecoin face market challenges
Polkadot (DOT) is currently in a critical zone and may not surpass its 2021 all-time high. Despite a strong technological infrastructure and a vibrant ecosystem, current technical indicators suggest that the crypto may not meet investors’ expectations in terms of future growth.
Filecoin (FIL) is also one of the altcoins to avoid right now. Known for its decentralized storage solution, the asset is currently facing significant volatility as illustrated by the daily charts. The crypto saw a dramatic 30% drop last week. This poor performance places it among the cryptos that have lost the most on the market in recent times. With such sharp fluctuations, Filecoin poses a high risk for investors, especially those looking for stable investments.
Beware of AXS and ADA cryptos
Axie Infinity (AXS), despite its innovative play-to-earn model that has attracted the attention of many players and investors, faces significant obstacles and fails to reach new highs. Currently, the AXS crypto is trading at $7.3 with a market cap of $1 billion, but its current position suggests it may struggle to climb higher, reflecting challenges in the blockchain-based gaming market .
Cardano’s ADA is also going through a rough patch. Its price has fallen by 25% over the past five months and is now stable around $0.48. This performance suggests that this crypto could continue to struggle, or even decline further. Investments in ADA are particularly risky in the current climate.
Investors should therefore exercise caution with these altcoins, which are showing signs of underperformance and may fail to reach new highs despite an overall bull market. However, even though CryptoBullet’s forecasts are based on fairly accurate technical data, nothing is completely certain and the crypto market always has surprises in store.
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Luc José A.
A graduate of Sciences Po Toulouse and holder of a blockchain consultant certification issued by Alyra, I joined the Cointribune adventure in 2019. Convinced of the potential of blockchain to transform many sectors of the economy, I took the commitment to raise awareness and inform the general public about this constantly evolving ecosystem. My goal is to enable everyone to better understand blockchain and seize the opportunities it offers. I strive every day to provide an objective analysis of current events, to decipher market trends, to relay the latest technological innovations and to put into perspective the economic and societal issues of this ongoing revolution.
DISCLAIMER
The views, thoughts and opinions expressed in this article belong solely to the author and should not be considered investment advice. Do your own research before making any investment decisions.