Finbold
2025-03-16 18:00:58

2 overbought cryptocurrencies to avoid buying this week

The cryptocurrency market remains largely in a consolidation phase, led by Bitcoin ( BTC ), which is pushing to make a decisive break above the $85,000 resistance while targeting the $90,000 mark. Despite the suppressed price movement, several digital assets are exhibiting increased buying pressure that has elevated them into overbought territory, historically serving as a precursor to price corrections. While short-term traders might still find opportunities in such an environment, the risk of a downturn from the overbought conditions outweighs the potential rewards, hence the need to avoid the following two cryptocurrencies next week. BinaryX (BNX) BinaryX (BNX) has recently gained popularity in the cryptocurrency market, recording massive capital inflows. The token, trading at $1.49 as of press time, has seen a 37.49% rise over the past 24 hours. Although these short-term gains might be tempting to investors , the token’s 15-minute relative strength index ( RSI ) of 74.78, coupled with 1-hour, 4-hour, and 12-hour RSI values of 82.13, 83.32, and 70.53, respectively, indicate that BNX is in overbought territory. BNX price and RSI reading. Source: Coinglass Generally, an RSI above 70 suggests an asset may be overvalued and due for a pullback. Indeed, given the platform’s increased on-chain initiatives, there is growing activity around BNX that is making it too hot to make purchases at the moment. In particular, the GameFi token is set to rebrand to Four (FORM), with leading exchanges like Bitget and Binance supporting the transition. The rebranding and a 1:1 token swap aim to refresh the project’s identity. Although the short term might present increased volatility for BNX, the token’s long-term outlook remains strong, given that it has notable investment backing from entities such as Binance Labs. Cosmos (ATOM) Cosmos ( ATOM ) has been among the standout movers amid the suppressed market conditions. For context, ATOM’s price has risen for five consecutive days, coinciding with sustainable demand as its futures open interest increased. ATOM was trading at $4.702 as of press time, gaining 2.66% over the past 24 hours. ATOM price and RSI reading. Source: Coinglass Despite this steady growth, the RSI metrics, 68.75 (15 minutes), 62.51 (1 hour), 71.14 (4 hours), and 62.62 (12 hours), suggest that ATOM is approaching overbought conditions, hinting at the possibility that the asset’s upward momentum might be overstretched. Notably, as of March 15, ATOM’s futures open interest surged to $93 million, the highest since February 2021. This metric tracks unfilled put and call orders, and rising open interest often signals a crypto rebound. However, the current overbought conditions call for caution. ATOM open interest chart. Source: Coinglass While a high RSI suggests that the two highlighted digital assets are in overbought territory, it does not necessarily mean an immediate correction is imminent. However, it serves as a signal for caution, as historically, such conditions have preceded pullbacks. Featured image via Shutterstock The post 2 overbought cryptocurrencies to avoid buying this week appeared first on Finbold .

Crypto 뉴스 레터 받기
면책 조항 읽기 : 본 웹 사이트, 하이퍼 링크 사이트, 관련 응용 프로그램, 포럼, 블로그, 소셜 미디어 계정 및 기타 플랫폼 (이하 "사이트")에 제공된 모든 콘텐츠는 제 3 자 출처에서 구입 한 일반적인 정보 용입니다. 우리는 정확성과 업데이트 성을 포함하여 우리의 콘텐츠와 관련하여 어떠한 종류의 보증도하지 않습니다. 우리가 제공하는 컨텐츠의 어떤 부분도 금융 조언, 법률 자문 또는 기타 용도에 대한 귀하의 특정 신뢰를위한 다른 형태의 조언을 구성하지 않습니다. 당사 콘텐츠의 사용 또는 의존은 전적으로 귀하의 책임과 재량에 달려 있습니다. 당신은 그들에게 의존하기 전에 우리 자신의 연구를 수행하고, 검토하고, 분석하고, 검증해야합니다. 거래는 큰 손실로 이어질 수있는 매우 위험한 활동이므로 결정을 내리기 전에 재무 고문에게 문의하십시오. 본 사이트의 어떠한 콘텐츠도 모집 또는 제공을 목적으로하지 않습니다.