These 3 Cryptocurrencies to Avoid Trading Next Week!

Amid the current bull trend in the crypto market, Bitcoin (BTC) has hit all-time highs, leading the crypto industry craze. This enthusiasm has spread throughout the crypto space, causing many cryptocurrencies to post significant gains.

Against this backdrop, investors are looking for digital assets that have the potential to deliver high returns. While many assets are in the profitable green zone, it's important to note that not every asset is equally profitable.

As a result, Finbold analyzes and identifies three cryptocurrencies that investors may want to avoid in the coming weeks. These recommendations are based on fundamental analysis that have a direct impact on the value of cryptocurrencies.

LINK

Despite the overall bullishness in the cryptocurrency market, Chainlink (LINK) price performance has gone against the market trend. One of the reasons behind this phenomenon is that, according to Santiment data, Chainlink’s 180-day dormant circulation dropped significantly from February 6 to March 3, from 257,000 to 714,000. This significant change in supply reveals changes in investor accumulation or holding patterns.

However, on March 6, the dormant circulation suddenly decreased significantly, from 570,000 to 70,200, a drop of 87.68%. This sudden release of previously inactive LINK assets means that a fundamental change in investor sentiment or market strategy may have occurred, which may cause further selling pressure on LINK.

加之，Chainlink的市场情绪已跌至-1.265的历史新低，自2023年7月以来的最低点，显示出前所未有的强烈悲观情绪。此指数通过分析社交媒体上的讨论氛围，衡量积极与消极言论的平衡，反映出市场整体情绪。结合休眠流通量的降低，这种负面情绪进一步预示着Chainlink的前景可能偏向看跌。

截止至本文发布，Chainlink的交易价位为20.08美元，本周价值下降了接近6%。

唯链（VET）另一方面，唯链（VET）已经跻身长期表现亮眼的加密货币行列，在过去的30天里，其价值飙升超过70%。这一显著的涨幅为今年早期进场的山寨币投资者带来了颇为可观的收益。

While the overall trend is positive, VET is currently trading at $0.04, indicating that the market may be bearish in the short-term, having lost approximately 4% this week.

Crypto analyst VeFam noted on X (formerly Twitter) that VET’s current value is hovering below $0.05 and price consolidation is underway. This price gyration may signal a wait-and-see attitude among investors, setting a new starting point for future market trends.

Traders need to remain highly vigilant during the current market phase, especially when faced with possible false breakouts—a phenomenon in which a price appears to break through a resistance level for a short period of time but fails to sustain its upward momentum. The end of a price consolidation is often accompanied by more severe market volatility, so cautious investors are advised to carefully evaluate the reliability of a breakout before considering adding to a position or opening a new one.

In summary, VET is now viewed as an investment that should be avoided for the time being due to the current period of price consolidation. In such an uncertain market environment, the best strategy is to wait patiently for clear trend breakthrough signals before making investment decisions.

Injective (INJ)

Injective (INJ) has shown market volatility over the past week, missing out on opportunities for the overall market to move higher. Despite this short-term volatility, INJ has achieved nearly 30% growth over the past month. However, INJ experienced a correction of about 3% last week.

INJ has been unable to capitalize on the overall upward trend in the market, despite the introduction of inEVM, a convergence technology designed to enhance cross-chain interoperability that has achieved true compatibility with Ethereum (ETH) and Solana (SOL). And was highly praised.

Therefore, investors in INJ need to carefully evaluate the decision to invest in the current market environment and observe how INJ adapts to the development of these emerging technologies. As of latest, INJ is trading steadily above the $40 support level and is currently trading at $42.

It should be noted that uncertainty in the cryptocurrency market always exists, and even digital assets with excellent fundamental performance may have price behavior that is contrary to expectations.

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