Sell These 3 Altcoins Now to Avoid Major Losses Before Monday!

As the market shifted from excessive optimism to indifference, cryptocurrencies other than Bitcoin started to fall due to increasing volatility and diminishing investor trust. Yet, a sudden increase in supply could exacerbate problems for certain digital currencies, potentially forcing sellers to offload their assets before Monday. Let’s delve into why this might happen on our upcoming blog post.

3 Altcoins to Sell As Exchange Supply Spikes

Over the next few days, we can expect a significant influx of billions of dollars’ worth of tokens entering the market, with unlocks and transfers taking place. This could prove disastrous for token holders, as an increase in supply often leads to intense selling pressure. This, in turn, may cause sudden drops in crypto prices due to a surplus of tokens on the market, increased liquidation, reduced demand, and consequently lower prices.

The sentiment analysis suggests that numerous teams are moving and distributing vast quantities of tokens for the cryptocurrencies SPX, LDO, and WLD. This mass transfer could potentially lead to a decrease in their respective prices. Investors might want to consider selling these tokens to avoid being liquidated.

1. SPX 6900 (SPX)

Approximately 3.6 million dollars’ worth of SPX6900 tokens were released and transferred into Bitvavo on January 17th. This amount represents about 0.32% of the total SPX supply, thereby slightly lowering the value of each token. Given the price trend analysis, some investors might decide to sell this token prior to Monday.

2. Lido DAO (LDO)

LDO, a well-known figure in the Ethereum staking market, frequently attracts interest from investors. Notably, approximately $4.1 million worth of these tokens were recently made available, representing 0.23% of the total supply. On January 16, these tokens were transferred to Coinbase Prime.

3. Worldcoin (WLD)

This week, an amount equivalent to around 4.3 million dollars worth of Worldcoin was introduced into the market on January 16th. This influx led to a decrease of approximately 4% in the coin’s price over the last 24 hours. Additionally, about 0.21% of the total supply has been transferred to the well-known cryptocurrency exchange Binance. With heightened liquidity and volatility, there is a possibility that the Worldcoin price could drop even more in the future.

This week, various alternative cryptocurrencies like FDUSD, XCN, STRK, among numerous others, have released over a million tokens.

Why Investors Are Selling This Crypto?

Starting January 18th, ONDO – currently ranked as the 37th largest cryptocurrency – is set to release approximately 1.94 billion tokens, valued at around $2.1 million based on current market prices. This massive release, often anticipated by investors, will account for about 134% of its total supply, significantly increasing the number of tokens in circulation. This event will unfold via a process known as Cliff Unlock.

To put it simply, the upcoming event in November 2024 could be the most significant release yet, potentially having a greater effect. The daily trading volume of this altcoin, ONDO, is outweighed by its total supply of 1.94 billion, causing investors to sell off their holdings. Consequently, the price of ONDO has dropped to $1.23 and it’s been struggling with liquidation for weeks. The aim here is to recoup any profits before the price falls again once the liquidity dries up and the value decreases.

Bottom Line

Investors are aware that the cryptocurrency market can be erratic, with rapid changes impacting asset prices. One such factor is a surge in supply which increases liquidity and can cause prices to drop. Currently, three well-known altcoins – LDO, SPX, and WLD – could experience a downtrend due to their upcoming token unlocks. It’s crucial for investors to examine these coins’ performance before making any trades by Monday.

2025-01-18 18:50