In the past week, four prominent altcoins have experienced substantial downturns, with their losses exceeding 20%. This dramatic decline positions them as the most significant losers among the top 100 cryptocurrencies. At the time of reporting, Bitcoin (BTC) was valued at $58,200, with a 24-hour trading volume approaching $100 billion.
Why Did Lido (LDO) Decline?
The altcoin Lido (LDO) faced a significant setback following the Securities and Exchange Commission’s (SEC) legal actions against the company behind MetaMask, within the Ethereum ecosystem. The LDO Coin, classified as a security, saw its value drop to $1.69, marking a 33% loss over eight days. The potential for recovery could see it reaching $1.79; however, a further decline to $1.5 or even between $1.44 and $0.88 remains plausible.
What Happened to JASMY Coin?
JASMY Coin’s price halved within 28 days, currently sitting at $0.023. This decline is attributed to heavy selling after notable gains. If the downward trend persists, it may test the $0.02 and $0.016 levels, resulting in significant losses for recent investors. For any recovery, the price needs to establish $0.0278 as support and aim for $0.033.
Ethena (ENA) Faces Challenges
Ethena (ENA) initially listed on Binance at $0.3, spiked to $1.52, but then plummeted by 72% over 84 days. The coin is on a downward journey, having already dropped 44% in 17 days. Should it secure $0.5 as support, levels of $0.67 and higher could be revisited.
Not Coin’s Volatile Journey
Not Coin enjoyed a 3500% surge in 17 days, driven by its Binance listing and the excitement around TON Coin. However, it has since entered a 32-day loss period, dropping 59%. Currently, it risks falling to $0.0098, with Bitcoin’s next movements being crucial for its direction.
Key Takeaways for Investors
Investors can draw several crucial insights:
- Monitor regulatory actions, such as those from the SEC, which can significantly impact altcoin prices.
- Be cautious of rapid price increases, as they may precede substantial corrections.
- Establish clear support and resistance levels to gauge potential recovery points.
- Consider the broader market environment, particularly Bitcoin’s movements, which influence altcoin trajectories.
In conclusion, these four altcoins have experienced significant losses, underscoring the volatile nature of the cryptocurrency market. Investors should remain vigilant and consider these insights when navigating potential investments.